M/s. S K Takappa S/O Kalappa Vs Assistant Commissioner of Commercial Taxes (Appeals) (Karnataka High Court)
Karnataka High Court has intervened in a GST appeal case, directing the Assistant Commissioner of Commercial Taxes (Appeals) to hear the appeal filed by S K Takappa on its merits. The petitioner, a registered dealer, had challenged an order passed under Section 73(9) and 73(10) of the CGST/SGST Act, 2017, arguing that their appeal was wrongly dismissed due to a perceived delay.
The petitioner had filed their appeal on the 90th day from the date of communication of the impugned order via email, which they argued was within the permissible time frame under Section 107 of the 2017 Act. However, the appellate authority dismissed the appeal, citing a two-day delay, without providing a hearing. The petitioner further submitted a rectification application, including an affidavit requesting condonation of delay, which was also dismissed.
The Karnataka High Court found that the appellate authority had failed to exercise its powers judiciously. The court emphasized that since the appeal was filed within 90 days of the email communication, as per Section 169 of the 2017 Act, the appellate authority was legally obligated to hear the appeal on its merits. Additionally, the court noted that the petitioner’s rectification application, along with the request for condonation of delay, should have prompted the appellate authority to consider the appeal under Section 107(2) of the 2017 Act.
