Andavar Transport Vs Deputy State Tax (Madras High Court)
The Madras High Court set aside two GST assessment orders dated 26.04.2024 and 13.08.2024 relating to the same assessment period after finding duplication between them. The petitioner, engaged in the transportation of goods, submitted that output tax was collected under the reverse charge mechanism (RCM) and that input tax credit (ITC) on vehicle purchases was reflected in GSTR-2A and GSTR-3B.
It was further contended that the ITC had already been reversed from the Electronic Credit Ledger pursuant to the order dated 26.04.2024 and, since such ITC was never utilised, interest under Section 50 of the GST enactments was not leviable. The Government Counsel, on instructions, acknowledged that both impugned orders dealt with the same issues. The High Court held that the duplication alone warranted reconsideration. Accordingly, both orders were set aside and the matter was remanded for fresh consideration after granting the petitioner a reasonable opportunity of hearing. The authority was directed to pass a fresh order within three months.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
Orders dated 26.04.2024 and 13.08.2024 pertaining to the same assessment period are challenged inter alia on the ground that there is duplication between the two orders.
