State of Jharkhand & Ors Vs BLA Infrastructure Private Limited (Supreme Court of India)
The Supreme Court of India condoned the delay and granted leave in the appeal. It held that issuing notice to the respondent was unnecessary as the proposed order would not adversely affect it, while preserving the respondent’s liberty to seek reopening if any adverse effect arose. The Court agreed with the State’s submission that the refund relating to the statutory pre-deposit, made for maintaining an appeal in which the respondent later succeeded, is governed by Section 107(6) read with Section 115 of the Jharkhand Goods and Services Tax Act, 2017, and not by Section 54. Accordingly, the High Court’s exercise interpreting Section 54 in this context was held to be unnecessary and was set aside to that extent. Clarifying the correct statutory basis, the Court disposed of the appeal and directed that the refundable amount be released with interest in accordance with law within four weeks. Pending applications were disposed of.
Read Also Judgment HC: Statutory Pre-Deposit Refund Cannot Be Denied as Time-Barred: Jharkhand HC
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
Delay condoned.
Leave granted.
We are of the opinion that it would not be necessary to issue notice and put the respondent on notice in view of the order that we propose to pass – an order which would have no adverse impact upon the respondent. In the event it does have any such effect, it would be open to the respondent to seek reopening of this matter.
Learned senior counsel appearing for the State of Jharkhand states that the refund to be made to the respondent in relation to the statutory pre-deposit made by it for maintaining the appeal, in which it thereafter succeeded, would be under the provisions of Section 107(6) read with Section 115 of the Jharkhand Goods and Services Tax Act, 20171, and not under Section 54 thereof. He would, therefore, state that the High Court was in error in interpreting Section 54 thereof in that context and granting relief pursuant to such exercise.
We are in agreement with the submission made by the learned senior counsel that the subject refund was relatable to Section 07(6) read with Section 115 of the Jharkhand GST Act, and to that extent, the exercise undertaken by the High Court with regard to Section 54 thereof was unnecessary.
Making that position clear and setting aside the exercise of interpretation of Section 54 of the Act undertaken in that context, the appeal is disposed of.
In the light of this order, the amount to be refunded to the respondent shall be refunded with interest thereon in accordance with law within a period of four weeks from today.
Pending application(s), if any, stand disposed of.
Delay condoned.
Leave granted.
The appeal is disposed of, in terms of the signed order.
Pending application(s), if any, shall stand disposed of.
Notes:
1“Jharkhand GST Act”, for short
