State of Karnataka Vs Yogisha R (Karnataka High Court)
The Karnataka High Court heard an appeal filed by the State authorities under Section 4 of the Karnataka High Court Act, 1961, challenging the order dated 26.03.2025 passed by the learned Single Judge in W.P. No.569/2024.
The learned Single Judge had allowed the writ petition by following the decision in Sri. Chandrashekaraiah and others v. State of Karnataka (W.P. No.9721/2019 and connected cases, dated 11.04.2023) and directed the concerned respondents to reimburse the GST amount indicated in the petitioner’s representations (Annexures C1 to C7) within three months.
Before the learned Single Judge, the petitioner had sought consideration of his representation dated 04.12.2023 for release of the GST amount as stipulated under the GST Act. The petitioner had also sought a declaration that the provisions of the GST Act were inapplicable to works contracts where the services had been provided prior to 01.07.2017, insofar as the petitioner was concerned.
The State submitted before the Division Bench that a Co-ordinate Bench of the High Court, in W.A. No.1587/2023 dated 10.06.2026, had clarified that the direction in Chandrashekaraiah requiring reimbursement of differential tax was to be understood as a direction only to the concerned employers and not to the tax authorities.
