Atulya Minerals Vs Commissioner of State Tax (Orissa High Court)
In the case of Atulya Minerals Vs Commissioner of State Tax, the Orissa High Court dismissed a writ petition challenging the jurisdiction of the Deputy Commissioner of State Tax in blocking Input Tax Credit (ITC) under Rule 86A of the OGST Rules, 2017. The petitioner argued that the orders blocking ITC, issued by the Deputy Commissioner, were unlawful as the officer lacked jurisdiction and that the principles of natural justice were not followed. The petitioner also referenced a Central Government circular to support their claim, arguing that it should apply to the State GST. However, the Court ruled that the circular in question was applicable only to Central GST and had no bearing on State GST unless explicitly adopted by the State Government, which was not the case here. The Court further clarified that under Rule 86A(1) of the OGST Rules, the Deputy Commissioner, being higher in rank than an Assistant Commissioner, was well within his jurisdiction to issue the impugned orders. Consequently, the petition was dismissed, affirming the Deputy Commissioner’s authority in such matters.
Introduction: The Hon’ble Orissa High Court in Atulya Minerals v. Commissioner of State Tax [W.P.(C) No. 14540 of 2024 dated June 20, 2024], dismissed the writ petition interalia stating that the Circular issued by the Central Government would be binding on the officers of Central GST officers only.
