B M S Projects Vs State of Chhattisgarh Through Secretary (Chhattisgarh High Court)
The Chhattisgarh High Court, in B M S Projects v. State of Chhattisgarh, addressed the petitioner’s grievance regarding the non-refund of GST paid on a contract awarded before the implementation of the GST regime on July 1, 2017. The petitioner argued that, despite a state government circular promising refunds for such cases, the authorities had not processed their claim. The state counsel acknowledged the government’s commitment to refund GST in pre-GST contracts but maintained that verification of eligibility was necessary.
The court disposed of the writ petition by directing the state authorities to verify the petitioner’s claim and process the refund in accordance with the government’s orders, including the circular dated October 10, 2018. The authorities were reminded that similar refunds had been granted in other cases and were instructed to make a decision within 90 days of receiving the order. This ruling reinforces the state’s obligation to honor its commitment to contractors affected by the transition to GST.
FULL TEXT OF THE JUDGMENT/ORDER OF CHHATTISGARH HIGH COURT
1. Heard.
2. The whole grievance of the petitioner is the inaction on the part of the respondents in not refunding the amount of GST collected from the petitioner in the course of the execution of the contract that was awarded to the petitioner.
