Avanti Feeds Limited Vs Deputy Commissioner of State Tax (Andhra Pradesh High Court)
The writ petition before the Andhra Pradesh High Court concerned the jurisdiction to assess and recover Integrated Goods and Services Tax (IGST) on imported goods and the authority of State GST officers to initiate proceedings in relation to such imports.
The petitioner, a company engaged in manufacturing and supplying aquatic feed, imported inputs such as fish meal, soya, and algal oil for use in manufacturing. In relation to assessment years 2017-18 to 2022-23, the petitioner claimed exemption from payment of tax under the IGST Act on import of certain inputs. The petitioner had been administratively allotted to Central jurisdiction and not State jurisdiction.
A State tax authority inspected the petitioner’s business premises and subsequently issued an intimation under Section 73(5) read with Rule 142(1A), questioning exemption claims and classification of certain imported goods. After the petitioner replied, a second intimation in the nature of a show cause notice was issued, which was challenged before the High Court.
The petitioner contended that State GST authorities lacked jurisdiction to initiate proceedings because it was assigned to Central jurisdiction, and in any event, assessment and collection of IGST on imported goods fell exclusively within the domain of customs authorities under the Customs Act and Customs Tariff Act.
