Case Law Details
Asma Automobiles Private Limited Vs State of Bihar (Patna High Court)
Patna High Court Directs GST Refund After Withdrawal of Assessment Order; Patna HC Orders Refund of Recovered GST Amount Due to Withdrawn Tax Assessment; Patna HC Grants Relief in GST Recovery Case Following Withdrawal of DRC-07 Order.
In Asma Automobiles Private Limited Vs State of Bihar, the petitioner challenged the order dated 12.12.2020 issued under Section 73 of the Bihar Goods and Services Tax Act, 2017 in Form GST DRC-07 for October 2020. The order levied tax of ₹42,20,966 each under CGST and SGST, totaling ₹84,41,932, on the ground of non-filing of GSTR-3B returns. The petitioner contended that the return in Form GSTR-3B had subsequently been filed on 31.12.2020 along with payment of tax and late fee within the statutory period under Section 62(2) of the Act. The petitioner also sought refund of the recovered amount and challenged service of the order only through the GST portal without other modes prescribed under Section 169 of the Act.
During the hearing, senior counsel for the petitioner submitted that the assessment order for the relevant period had already been withdrawn. Considering this submission, the Patna High Court directed that if the assessment order had indeed been withdrawn, any amount recovered from the petitioner should be refunded in case it had not already been credited back. The writ petition was accordingly disposed of.
FULL TEXT OF THE JUDGMENT/ORDER OF PATNA HIGH COURT
The present writ petition has been filed by the petitioner seeking the following reliefs:-
“1.(i) The order dated 12.12.2020 (as contained in Annexure -P1 series) passed by the respondent no.2 for month of October 2020 falling in the Financial Year 2020-21 in Form GST DRC- 07 under section 73 of the Bihar Goods and Services Tax Act, 2017 (hereinafter called the Act) served only on the portal and not served by other modes of service in terms of section 169 of the Act levying tax, amounting to 42,20,966 each under CGST and SGST totaling 84,41,932 on the solitary ground of non-filing of return in GSTR 3B (in view of filing of return in Form GSTR 3B on 31.12.2020) and payment of tax and late fee within a period of 30 days of the order in view of statutory provisions contained in section 62 (2) of the Act and also interest and being contrary to the said statutory provision and also Article 265 of the Constitution of India and the principles of double taxation be set aside and quashed.
(ii) The respondent no. 2 be directed to refund the amount of tax collected by debiting the electronic credit ledger to recover the tax determined by him under section 62 of the Act after filing of the return for month of October 2020.
(iii) The order dated 12.12.2020 (as contained in Annexure P1 series) issued by the respondent no.2 in Form GST DRC-07 in terms of Rule 100 (2) and 142 (1) (a) of the Central Goods and Services Tax Rules, 2017 (hereinafter called the Rules) for the Tax Period 2020-21 on the basis of a summary of show cause notice shown only on the portal and not served by other modes of service in terms of section 169 of the Act being contrary to the Rules be set aside and quashed.”
2. At the outset, the Ld. Senior Counsel for the petitioner has submitted, by referring to the rejoinder affidavit filed in the present case, that the assessment order dated 11.12.2019/12.12.2020, passed by the Deputy/Assistant Commissioner of State Tax, Purnea Circle, Purnea for the month of October, 2019/2020 falling in the financial year 2019- 20/2020-21 has stood withdrawn, hence the amount which has been recovered by the respondents be directed to be refunded back in case the same has not yet been automatically credited in the account of the petitioner, as has been averred by the Ld. Counsel for the respondents.
3. Having regard to the facts and circumstances of the case, we deem it fit and proper to dispose of the present writ petition with a direction that in case the averment of the Ld. Sr. Counsel for the petitioner to the effect that the assessment order in question has stood withdrawn, is correct, the amount so recovered be refunded back to the petitioner in case the same has not yet been credited in favour of the petitioner.
4. Accordingly, the writ petition stands disposed of.
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