Pazhassi Motors Vs State of Kerala (Kerala High Court)
The Kerala High Court (Kerala High Court) considered a writ petition filed by a registered taxpayer under the CGST/KGST Act, 2017, challenging an assessment order for the year 2018–19. Under the impugned order, the input tax credit (ITC) claimed by the petitioner was denied on the ground that returns for the period from May 2018 to March 2019 were not filed within the time limit prescribed under Section 16(4) of the CGST Act.
The petitioner contended that the denial was unsustainable in view of Section 16(5) of the CGST Act, which was introduced subsequently. According to the petitioner, Section 16(5) entitles a taxpayer to avail ITC if the relevant returns are filed before the cut-off date specified therein, namely 30 November 2021. It was argued that the petitioner had filed the returns within this cut-off period and was therefore eligible for ITC.
The State opposed the petition by pointing out that the petitioner had earlier filed a writ petition challenging the constitutional validity of Section 16(4) of the CGST Act. That challenge had been rejected by a common judgment dated 04.06.2024. On this basis, it was argued that the petitioner could not seek relief without first seeking modification or review of the earlier judgment.
