RSD Natural Resources Private Limited Vs Assistant Commissioner of Revenue & Ors. (Calcutta High Court)
Whether limitation period for passing orders under GST Law can be extended by virtue of notifications issued under Section 168A of the CGST Act 2017?
The Ld Single Bench of Calcutta high court in this case was dealing with challenge to an adjudication order dated 05.03.2024, imposing tax demand of ₹2.35 crore with interest and penalty for FY 2018–19 when It was contended that the proceedings were time-barred, as they were initiated after 3 years from the due date as prescribed.
The department relied on Notifications No. 09/2023 and 56/2023 issued by CBIC under Section 168A, which extended the limitation period. The petitioner argued these notifications were ultra vires, as Section 168A allows extension only during force majeure, which did not exist when they were issued.
Reliance was placed on N.M. Construction vs Assistant Commissioner of State Tax (WPA 2850/2024). The revenue argued that the writ petition should not be entertained due to the availability of an appellate remedy under Section 107 of the GST Act.
The Ld judge while noting that alternative remedy is not a bar when a jurisdictional issue is raised and since the petitioner challenged the very jurisdiction of the authority and the validity of notifications, the writ petition is maintainable.
