9911796707
TMI Blog2022 (11) TMI 1067X X X X Extracts X X X X X X X X Extracts X X X X ..... Writ Petition has been filed to direct the Respondents 1 to 4 to consider the representation of the Petitioner, dated 12.08.2022, seeking grant of GST components along with interest to be paid to the 5th Respondent. 2. The learned counsel for the Petitioner submitted that the Petitioner is a Partnership Firm providing services of land development, site grading, road formation and connected works for various National Highways / State Local Authorities and Private concerns in the State of Tamil Nadu. The Petitioner executes the works as main contractor and also executes work as sub-contractor to other main contractors. He further submitted that the Petitioner was registered under erstwhile Value Added Tax within the State of Tamil Nadu and w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax Act, 2006. Service tax was not paid since the services were exempted vide Serial Nos. 12 and 13(a) of Notification No.25 of 2012 - ST dated 20.06.2012. There was a change in the rate of tax when GST was introduced and service tax and VAT was subsumed. The rate of tax under GST which started with 18% was reduced to 12% and was enhanced to 18%. It is submitted that variation in the rate with the introduction of GST has compounded the problems for the contractors. As a matter of fact, realising the difficulties faced by the contractors, the Government of Tamil Nadu has also issued two notifications in G.O.(Ms)No.264, Finance (Salaries) Department, dated 15.09.2017 and G.O.(Ms)No.296, Finance (Salaries) Department, dated 09.10.2017, wherein, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unt to arrive at the value of supply. The key issue is to estimate the value of subsumed taxes carefully and accurately as possible. - Considering the necessity to provide for a transparent means of estimating subsumed tax, Government direct that following methodology shall be adopted for estimating the value of subsumed taxes. - In cases where the supplier has furnished break up of taxes with in the quoted value at the time of submission of tenders, it shall be taken as the basis for estimating the value of subsumed tax; If after negotiation, the contracted value is less than the bid value, the tax quoted shall be proportionately reduced to arrive at the estimate of value of subsumed tax. - In case, break up of taxes was not obtained ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... titioner was served with the notice by the 5th Respondent fixing dates for personal hearing, pursuant to the show cause notice. Two personal hearings have already been granted and the final hearing is fixed on 17.11.2022 by the 5th Respondent. Thereafter, the Petitioner have submitted a representation to the State Government, wherein, it was requested that applicable GST on the Contract may be worked out and GST may be released to the Petitioner without any delay. However, the said representation is stated to be pending before the Respondents. The Petitioner requested the GST authorities not to initiate the proceedings until the disposal of the representation. 5. In the circumstances, this Court is of the view that the Respondents 1 to 4 s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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