Case Law Details
Shah And Shahi Foreign Trade (OPC) Private Limited Vs Deputy Assistant Ommissioner (Andhra Pradesh High Court)
GST Assessment Deemed Withdrawn After Filing Pending Returns Under Section 62(2); Andhra Pradesh High Court Stops GST Recovery Due to Deemed Withdrawal of Assessment; Garnishee Attachment Set Aside After GST Returns Filed Following Assessment Order; No GST Recovery Permitted Once Section 62 Assessment Is Withdrawn.
The petitioner challenged an assessment order dated 30.05.2024 and the corresponding Form GST DRC-07 summary issued under Section 62 of the Goods and Services Tax Act, 2017 for March 2024. The petitioner later filed the pending GST returns on 20.08.2024 along with payment of tax, interest, and late fee. The writ petition was filed against recovery proceedings initiated on the basis of the assessment order. The petitioner contended that under Section 62(2) of the Act, an assessment order passed under Section 62 is deemed to have been withdrawn once the required returns are filed in accordance with law. The Government Pleader confirmed that the returns had been filed and that no dues were pending. The Andhra Pradesh High Court held that, in view of Section 62(2), the assessment order and the DRC-07 summary stood deemed withdrawn. The Court further held that no recovery could be made under those orders and that any garnishee attachment would also stand set aside.
FULL TEXT OF THE JUDGMENT/ORDER OF ANDHRA PRADESH HIGH COURT
Heard Sri C. Sanjeeva Rao, the learned counsel appearing for the petitioner and the learned Government Pleader for Commercial Tax, appearing for the respondents.
2. The petitioner had suffered an order of assessment, dated 30.05.2024, and the summary of the order, in FORM GST DRC –07, dated 31.06.2024, for the tax period, March-2024, passed under Section 62 of the Goods and Services Tax Act, 2017 (hereinafter referred to as ‘the Act’). After the said orders had been passed, the petitioner had filed his returns, on 20.08.2024, along with tax, interest and late fee.
3. The petitioner has now approached this Court, by way of this Writ Petition, being aggrieved by the recovery sought to be made, on the basis of the aforesaid order, dated 30.05.2024.
4. Sri C. Sanjeeva Rao, the learned counsel appearing for the petitioner, would contend that the order of assessment passed, on 30.05.2024, to be deemed to have been withdrawn, on account of Section 62(2) of the Act, which states that any order passed under Section 62 of the Act, would be deemed to have been withdrawn, if the returns, for the said period have been filed, in accordance with Law, under Section 62 of the Act.
5. The learned Government Pleader for Commercial Taxes, appearing for the respondents, on instructions, submits that, the petitioner had infact filed the returns, on 20.08.2024, and no dues are pending, on account of the said returns.
6. In view of the deeming provision, under Section 62(2) of the Act, this Writ Petition is disposed of, with a declaration that the order of assessment, dated 30.05.2024 and the summary of the order, dated 31.05.2024, are deemed to have been withdrawn, and that, the respondents cannot seek to recover any amounts raised, under the said orders.
7. It may also be observed that consequent to this order, any order of attachment to Garnishee would also stand set aside. There shall be no order as to costs.
As a sequel, pending miscellaneous applications, if any, shall stand closed.
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