2025 (1) TMI 1198 - HC - GST

Permission for withdrawal of appeal - exhaustion of statutory remedies - HELD THAT - Since the appellant seeks to pursue the statutory remedy by submitting the reply to the show cause notice the time spent during the pendency of the writ petition as well as the date from which this appeal was filed till it is disposed by this order has to be excluded. Instead of making an arithmetical calculation in this regard we extend the time for submitting the reply to the show cause notice by a period of sixty days from the date of receipt of the server copy of this judgment and order. It is made clear that the Court has not gone into the merits of the matter and it will be well open to the appellant/assessee to canvass all points before the Adjudicating Authority. The learned Single Bench has also not gone into the facts but to make things clear even assuming that there were certain observations made by the learned Single Bench touching upon the facts those observations stand deleted and the appellant/assessee would be entitled to raise all contentions both factual and legal before the Adjudicating Authority. In the light of the above order extending the time for submitting the reply to the show cause notice the hearing which was fixed by the Adjudicating Authority shall stand deferred. Appeal dismissed as withdrawn.

Summary

**Summary of the Judgement:** The Calcutta High Court, presided over by Chief Justice T. S. Sivagnanam and Justice Hiranmay Bhattacharyya, addressed an intra-Court appeal filed by the writ petitioner challenging the order dated 23.12.2024 in WPA 24534 of 2024. The appellant contested a show cause notice issued by the Adjudicating Authority on 3.8.2024 under the CGST Act, 2017. 1. **Statutory Remedies:** The Single Bench advised the appellant to exhaust statutory remedies, including submitting a detailed response to the show cause notice, rather than challenging it in court. 2. **Withdrawal of Appeal:** After arguments, the appellant's counsel sought permission to withdraw the appeal, requesting an extension for submitting a reply to the show cause notice. The court agreed, extending the deadline by sixty days from the receipt of the judgment. 3. **Merits Not Addressed:** The court clarified that it did not evaluate the merits of the case, allowing the appellant to present all factual and legal arguments before the Adjudicating Authority. 4. **Observations Deleted:** Any factual observations made by the Single Bench were deleted, ensuring the appellant could fully argue their case before the Adjudicating Authority. 5. **Deferred Hearing:** In light of the extended deadline, the scheduled hearing by the Adjudicating Authority is deferred. The appeal and associated application were dismissed as withdrawn.