Rythm Vs State of Rajasthan & Ors. (Rajasthan High Court)
Summary: The Rajasthan High Court, Bench at Jaipur, allowed the writ petition filed by M/s Rythm to the extent of condoning the delay in filing its GST appeal and directed the Appellate Authority to entertain and adjudicate the appeal on merits.
The petitioner challenged the Order-in-Original dated 09.12.2025 passed by the Joint Commissioner, State Tax, Circle-G, Zone-III, Jaipur, under which a GST demand of Rs.41,57,287/- was raised for financial year 2021-2022 on account of non-payment of tax for the relevant year and thereafter claiming excess of Input Tax Credit by the petitioner. The petitioner also sought release of the hold/lien placed on its bank account and restoration of amounts recovered from its Electronic Credit Ledger.
According to the petitioner, the statutory appeal could not be filed because the online status of the appeal showed that it was time-barred. The petitioner approached the High Court by filing the writ petition on 04.08.2026.
The petitioner submitted that the delay occurred due to bona fide circumstances and was neither intentional nor attributable to negligence or lack of diligence. It was specifically submitted that the petitioner remained unaware of the Order-in-Original dated 09.12.2025 because it had been uploaded on the GST portal under the head “Additional Notices and Orders” instead of “Notices and Orders”. The petitioner further stated that the e-mail address and mobile number of its tax consultant were registered on the GST portal at the relevant time, but the consultant did not inform the petitioner about the proceedings. It was also submitted that the order was never served manually or in hard copy.
