Date of online acknowledgement is date of filing GST appeal: Karnataka HC

Date of online acknowledgement of appeal filed be considered as date of filing appeal

Summary: In the case of Hitachi Energy India Ltd. v. State of Karnataka and Ors., the Karnataka High Court addressed the issue of whether the date of online acknowledgment should be treated as the filing date for appeals under the Central Goods and Services Tax Act (CGST Act). The Petitioner contested the dismissal of their appeals on grounds of being filed late, asserting that the date of provisional acknowledgment should be recognized as the official date of filing for the purpose of limitation. The Court reviewed the applicable legal provisions and prior case law, concluding that the date of online acknowledgment indeed constitutes the date of filing. Consequently, the Court set aside the impugned appellate orders and remitted the matters back for reconsideration. This ruling clarifies that in circumstances where decisions or orders are uploaded on the common portal, the provisional acknowledgment date is crucial for establishing the timeline for appeals, aligning with Rule 108(3) of the CGST Rules. This decision serves to ensure fairness in the appeal process, allowing for clearer timelines in filing disputes under the CGST framework.

The Hon’ble Karnataka High Court in the case of Hitachi Energy India Ltd. v. State of Karnataka and Ors. [Writ Petition No. 14111 of 2024 dated July 02, 2024] allowed the writ petition and further affirmed that the date of provisional acknowledgment for appeal filed would be considered as the date of filing appeal for the purpose of limitation.

Facts:

Hitachi Energy India Ltd. (“the Petitioner”) filed a writ petition against impugned orders whereby the appeals filed under Section 107(11) of the Central Goods and Services Tax Act, (“the CGST Act”) was dismissed on the ground the appeals were filed beyond the time period including the time period condonable under Section 107(4) of the CGST Act.

The Petitioner contended that the writ petition should be disposed taking into consideration the law laid down in W.P. No. 14881/2024 which has been filed by the same Petitioner wherein the date of online acknowledgement issued online for appeal filed.

Issue:

Whether the date of online acknowledgement issued should be considered as the date of filing the appeal for the purpose of limitation?

Held:

The Hon’ble Karnataka High Court in the case of Writ Petition No. 14111 of 2024 held as under:

• Noted that, as per the case law cited above, the date of filing the appeal would not be considered as the actual date for filing of the appeal.
• Opined that, the date of filing the appeal online would be considered as the date of filing of appeal.
• Held that, the Impugned appellate orders are set aside and matters are remitted back for reconsideration.

Relevant Provision:

Rule 108(3) of the CGST Rules:

[(3) Where the decision or order appealed against is uploaded on the common portal, a final acknowledgment, indicating appeal number, shall be issued in FORM GST APL-02 by the Appellate Authority or an officer authorised by him in this behalf and the date of issue of the provisional acknowledgment shall be considered as the date of filing of appeal:

Provided that where the decision or order appealed against is not uploaded on the common portal, the appellant shall submit a self-certified copy of the said decision or order within a period of seven days from the date of filing of FORM GST APL-01 and a final acknowledgment, indicating appeal number, shall be issued in FORM GST APL-02 by the Appellate Authority or an officer authorised by him in this behalf, and the date of issue of the provisional acknowledgment shall be considered as the date of filing of appeal:

Provided further that where the said self-certified copy of the decision or order is not submitted within a period of seven days from the date of filing of FORM GST APL-01, the date of submission of such copy shall be considered as the date of filing of appeal.]*

* as substituted vide Notification No. 26/2022 – Central Tax dated December 26, 2022 wherein before the said substitution the date of submission of the copy of appeal was considered as the date of filing appeal

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