S. G. Plastic Industries Vs Principal Commissioner (Allahabad High Court)
In the case of S.G. Plastic Industries vs. Principal Commissioner, the Allahabad High Court addressed a conflict where both State GST and Central GST authorities were conducting assessments for the same financial years. The petitioner argued that duplicate proceedings violated established procedures, particularly for the financial year 2017-18, which had already been assessed by the State GST authorities under Section 74 of the CGST Act.
Citing a 2018 circular, the Central GST authority contended that investigations should proceed based on the department that initiated the action first. After reviewing the facts, the court directed the Central GST authority to continue its investigation for financial years beyond 2017-18 while restricting the State GST from taking further action for years where the Central GST had already initiated proceedings. The decision ensures clarity and prevents overlapping jurisdiction in tax assessments, upholding procedural fairness for taxpayers.
FULL TEXT OF THE JUDGMENT/ORDER OF ALLAHABAD HIGH COURT
1. Heard learned counsel appearing for the petitioner and learned counsel appearing for the respondents.
2. The issue in this writ petition is that both the State GST Authorities and Central GST Authorities are proceeding against the petitioner with regard to the same assessment years.
