Case Law Details
Jk Tyre And Industries Limited And Anr Vs Union Of India & Ors. (Delhi High Court)
In the case of Jk Tyre and Industries Limited and Anr. vs. Union of India & Ors., the Delhi High Court considered the challenge raised by the petitioners in writ petition WP(C) 8098/2022 against a Show Cause Notice (SCN) dated April 12, 2022, issued under Section 74(1) of the Central Goods and Services Tax Act, 2017. The petitioners contended that the SCN, which was issued by the authorities, was erroneous and required judicial scrutiny. Tyre companies argued that the supply of tyres with tubes is not a composite supply, and they are not liable to pay 28% GST on tubes supplied with tyres.
The court examined the matter and found that no jurisdictional issues were raised in the petition, and the factual issues surrounding the case did not justify continuing with the writ petition.
The court also noted that similar challenges had been made in two connected matters, WP(C) 8770/2023 and WP(C) 8814/2023. In these cases, final orders had already been passed, but the petitioners in these connected matters were still permitted to seek appropriate remedies in accordance with the law. The court concluded that there was no reason to continue with the lead writ petition and dismissed it, while granting the petitioner in WP(C) 8098/2022 the liberty to file a response to the SCN. Additionally, the petitioners in the connected matters were allowed to challenge the final orders as per the available legal remedies.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. We find that the lead writ petition, i.e. WP(C) 8098/2022, had come to be entertained by this Court and in which a challenge was raised to a Show Cause Notice [“SCN”] dated 12 April 2022. The said SCN had been issued under Section 74(1) of the Central Goods and Services Tax Act, 2017 [“Act”].
2. It appears that a similar challenge came to be raised in the connected matters and in those two writ petitions, however, we are informed, that subsequently a final order has also come to be passed. Bearing in mind the factual issues which are raised and absent any jurisdictional challenge, we find no justification to continue these writ
3. They shall, consequently, stand dismissed with liberty reserved to the petitioner in W.P.(C) 8098/2022 to file a response to the SCN. Insofar as the final orders are concerned and which form subject matter of W.P.(C) 8770/2023 and W.P.(C) 8814/2023, we accord liberty to the writ petitioners in those matters to adopt appropriate remedies for assailing the same in accordance with law.
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