IDP Education India Private Limited Vs Government of N.C.T. of Delhi & Ors. (Delhi High Court)
The Delhi High Court heard a petition filed under Article 226 of the Constitution challenging the prolonged pendency of three GST refund appeals filed by the petitioner—dated 29 September 2021, 17 November 2022, and 23 November 2023. The petitioner, which provides student recruitment-related support services to IDP Australia under a Support Service Agreement, had filed refund applications for the financial years 2019–2020, 2020–2021, and 2021–2022. Despite filing these refund appeals over several years, the petitioner argued that the Appellate Authority repeatedly granted hearings but failed to pass any adjudication order, resulting in continued delays. Counsel for the petitioner also submitted that decisions from the Bombay High Court and other High Courts had granted refunds in similar matters and should have been considered.
The Court examined Section 107(13) of the Central Goods and Services Tax Act, 2017 (CGST Act), which mandates that appeals should be decided within one year from the date of filing, unless delayed due to a stay order issued by a court or tribunal. The Court observed that more than four years had elapsed since the first appeal was filed and found that the prolonged pendency was inconsistent with the statutory timeline. It further emphasized that delaying adjudication of refund applications could adversely impact businesses, as withholding refunds results in financial strain.
