Case Law Details
Roshan Fruits India Pvt Ltd Vs Assistant Commissioner (ST) (Madras High Court)
The recent judgment in the case of Roshan Fruits India Pvt Ltd vs Assistant Commissioner (ST) by the Madras High Court has significant implications for GST procedures. The court addressed the issue of rectification petitions concerning the wrongful availment of Input Tax Credit (ITC) and directed the GST Department to dispose of such petitions within a stipulated timeframe.
The petitioner, Roshan Fruits India Pvt Ltd, had filed a rectification petition dated 12.03.2024, challenging the assessment order issued against them for alleged wrongful availment of ITC. They argued that the ITC availed in their GSTR 3B returns was duly reflected in the auto-populated GSTR 2A and sought rectification accordingly. Despite this, the rectification petition had not been disposed of by the GST Department.
The judgment highlighted the scope of rectification, emphasizing that it is confined to errors apparent on the face of the record. The petitioner provided details of available ITC as per GSTR 2A and reconciled it with GSTR 3B returns, indicating compliance with GST regulations.
The Madras High Court, considering the merits of the case, directed the respondent to consider and dispose of the rectification petition by a speaking order. The court mandated that the respondent provide a reasonable opportunity, including a personal hearing, to the petitioner. Importantly, the court set a strict timeline for the disposal of the petition, instructing that it be completed within one month from the date of receipt of the court’s order.
This judgment underscores the importance of timely and fair resolution of rectification petitions in GST matters. It upholds the principle of natural justice by ensuring that petitioners are given a fair chance to present their case and have it adjudicated upon within a reasonable timeframe.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
The petitioner seeks consideration of rectification petition dated 12.03.2024.
2. Pursuant to proceedings initiated against the petitioner, the assessment order dated 16.09.2023 was issued regarding alleged wrongful availment of Input Tax credit (ITC). The petitioner filed a rectification petition in respect thereof by pointing out that there is no discrepancy and that the ITC availed of by the petitioner in GSTR 3B returns is duly reflected in the auto-populated 2A. Since such rectification petition has not been disposed of till date, the petitioner seeks disposal thereof.
3. Mr. V. Prashanth Kiran, learned Government Advocate, accepts notice for the respondent. He points out that the scope of rectification is confined to errors apparent on the face of record.
4. The petitioner has placed the rectification petition on record. In such petition, the petitioner has provided details of available ITC as per the GSTR 2A and has reconciled the same with the GSTR 3B returns. In these circumstances, the petitioner is entitled to a direction as prayed for.
5. Therefore, W.P.No.10008 of 2024 is disposed of by directing the respondent to consider and dispose of rectification petition dated 12.03.2024 by a speaking order after providing a reasonable opportunity, including a personal hearing, to the petitioner. The rectification petition shall be disposed of within one month from the date of receipt of a copy of this order. No costs.
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