Hirotec India Private Limited Vs Union of India (Madras High Court)
Summary:
The Madras High Court considered a writ petition filed by M/s.Hirotec India Private Limited challenging an appellate order dated 30.12.2025 and the consequential recovery notice dated 01.08.2026. The petitioner invoked Article 226 of the Constitution of India and sought quashing of the appellate order.
The petitioner submitted that the appellate order had been received on 14.05.2026 and that the limitation period for filing a further appeal before the GST appellate tribunal had not expired. According to the petitioner, the recovery notice had nevertheless been issued without waiting for the limitation period to expire. It was also contended that the appellate order travelled beyond the scope of the Department’s appeal.
The respondents accepted notice and contended that the appellate authority was empowered to direct recovery of the wrongfully availed Input Tax Credit and that re-determination was unnecessary.
The Court noted that the petitioner had placed on record evidence showing receipt of the appellate order on 14.05.2026. Reckoning the limitation period from the date of communication of the appellate order, the Court found that the period for filing a further appeal before the GST appellate tribunal was still available.
Considering this circumstance, the Court directed that the respondents shall not take further proceedings pursuant to the recovery notice dated 01.08.2026 until 13.09.2026. The writ petition was disposed of on these terms without any order as to costs. The connected miscellaneous petitions were consequently closed.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
Appellate order dated 30.12.2025 and the consequential recovery notice dated 01.08.2026 form the subject of this writ petition.
2. Learned counsel for the petitioner submits that the appellate order was received by the petitioner on 14.05.2026 and that the limitation period for filing further appeal before the GST appellate tribunal has not expired. Without waiting for such time limit to expire, he points out that the recovery notice dated 01.08.2026 was issued. He also submits that the appellate order travels beyond the scope of the Department’s appeal.
3. Mr. A.P.Srinivas, learned Senior Standing Counsel, accepts notice for the respondents. He contends that the appellate authority was empowered to direct recovery of the wrongfully availed of Input Tax Credit and that re-determination is unnecessary.
4. The petitioner has placed on record evidence of receipt of the appellate order on 14.05.2026. Reckoned from the date of communication of the appellate order, the limitation period for filing further appeal before the GST appellate tribunal is still available. Considering this aspect, the respondents shall not take further proceedings pursuant to the recovery notice until 13.09.2026. The writ petition is disposed of on these terms without any order as to costs. Consequently, connected miscellaneous petitions are closed.
