Abhi Constructions Vs Joint Commissioner of Central Tax (Telangana High Court)
Telangana High Court Allows GST Assessee to Pursue Statutory Appeal Against Section 74 Demand; Directs Consideration of Delay Condonation
The Telangana High Court reiterated that disputes arising from adjudication orders passed under Section 74 of the GST Act should ordinarily be pursued before the statutory appellate authority. While declining to examine the merits of the tax demand, the Court granted liberty to the taxpayer to file an appeal and directed the appellate authority to consider the issue of delay by taking into account the time spent pursuing the writ remedy.
Introduction
In M/s. Abhi Constructions vs Joint Commissioner of Central Tax & Others, the Telangana High Court dealt with a challenge to an Order-in-Original and corresponding Form GST DRC-07 issued under Section 74 of the Goods and Services Tax Act, 2017.
During the course of hearing, the petitioner chose to avail the statutory appellate remedy instead of pursuing the writ petition on merits. Recognizing this, the Court permitted the petitioner to approach the appellate authority and directed that any delay in filing the appeal be considered in light of the pendency of the writ proceedings before the High Court.
