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TMI Blog2022 (10) TMI 134X X X X Extracts X X X X X X X X Extracts X X X X ..... n account of the taxes being shared and borne by the Petitioner post the enactment of the Goods and Services Tax Act, 2017 thereby infringing the provisions of Goods and Services Tax Act, 2017; (ii) Further be pleased to pass an appropriate order directing the Opposite Parties to restitute the benefits to the Petitioner along with interest and compensation within a stipulating period in terms of the order passed by the Hon'ble High Court under Annexure-3." 3. It is the case of the Petitioner, works contractor, that having been awarded the work "Special Repair to N.H.-143 from K.M. 0/00 to K.M. 125/800", he executed agreement bearing No. 05 P1 of 2017-18 with Executive Engineer, National Highway Division, Rourkela. The Executive Engineer, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... matter is required to be considered in the light of order dated 1st February, 2021 passed by this Court in the case of Muna Pani Vrs. State of Odisha & Others, W.P.(C) No. 3465 of 2021. 4. It is submitted by the petitioner that by virtue of clause 1(iii) of Finance Department Memorandum dated 7th December, 2017 the petitioner is required to show the GST component separately in its bills in respect of works executed after 01.07.2017. This leads to additional burden of tax to be borne by the petitioner. 5. Per contra, counsel for the Opposite Parties argued that the writ petition challenging the vires of Office Memorandum dated 1st July, 2017 is not maintainable inasmuch as the same has been revised by issue of Office Memorandum bearing No ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this Court being carried out by the authority concerned, amongst many, one of such works contractors viz. Harish Chandra Majhi, by way of petition being W.P.(C) No.14924 of 2020, challenged the Revised Guidelines vide Office Memorandum No.38535-FIN-CT1-TAX-0045-2017/F., dated 10.12.2018. This Court disposed of said case vide Judgment dated 07.06.2021 [reported as Harish Chandra Majhi Vrs. State of Odisha and others, 2021 SCC OnLine Ori 643 = (2021) 51 GSTL 113 = (2021) 93 GSTR 354 (Ori)] by observing thus: "1. The Office Memorandum dated 10 December, 2018 of the Finance Department under Annexure- 3 prescribing guidelines for the implementation of GST (Goods and Services Tax) in works contract in post-GST regime with effect from 1 July, 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... prepared under VAT?' *** 11. The basic price of materials as per SoR-2014 was inclusive of VAT, entry tax and other tax components. Since 1 July 2017 GST is payable on the value of the contract, the value of tax components in the price of the materials in SoR- 2014 was revised and reduced by excluding such tax components prevalent during pre-GST period. As such, the revised SoR-2014 was issued on 16 September, 2017. 12. The Petitioner complains that the procedure adopted in the preparation of the revised SoR- 2014 dated 16 September, 2017 (Annexure-8) is illegal, arbitrary and contrary to the provisions of Odisha Public Works Department Code (OPWD Code) and that the rates have not been determined on the basis of actual rates prevailin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to be included. This necessitated a revision of SoR-2014 to arrive at the GST exclusive work value. The GST component is to be added to the work value. As the revised SoR is exclusive of the tax components, the estimated value of the work gets reduced to that extent. This was prepared under the recommendation of a Code Revision Committee and after verification of tax rate in the pre-GST period of each of the items including the hire charges of machineries. *** 29. In the instant case, three components of the tax, i.e., subject of tax, person liable to pay the tax and rate of tax has been clearly defined in the statute. The OM dated 10th December, 2018 only prescribes the manner/procedure of calculation to determine the amount of tax in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... swar R&B Division-IV, Bhubaneswar, W.P.(C) No.7956 of 2019 vide Order dated 22.02.2021.
8. In a case being Sri Lalit Kumar Mohanty Vrs. State of Odisha, W.P.(C) No. 26646 of 2021 disposed of on 4th April, 2022, the propriety of Revised Guidelines vide Office Memorandum dated 10th December, 2018 came up for consideration before this Court. This Court while disposing of the said writ petition declined to exercise writ jurisdiction. In the result, in view of the aforesaid reasons, this Court finds no ground to exercise its extraordinary jurisdiction under Article 226 of the Constitution of India and hence, the writ petition deserves to be dismissed.
9. Accordingly, the writ petition is dismissed. Issue urgent certified copy as per rules. X X X X Extracts X X X X X X X X Extracts X X X X
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