Challenge of Assessment after 4 Years: Kerala HC Directs GST Dept to decide Payment of GST Dues in Instalments [Read Order]

The Kerala High Court directed the GST Department to decide payment of GST dues in instalments in the matter of challenge of assessment after 4 years.

The petitioner, Krishna Steel Rolling Mills, after filing GSTR-1 did not file the return in GSTR-3B. It appears that the petitioner was assessed to the GST for a total outstanding amount of more than rupees five Crores. The Counsel for the petitioner submitted that the assessing authority has not calculated the tax properly and on the basis of wrong calculation, the assessment orders has been passed in respect of which recovery notices have been issued.

The assessment order has been passed on 28.11.2019. The petitioner has not challenged the assessment order by filing statutory appeals. The petitioner has approached the Court by filing the present writ petition after almost four years from the date of assessment order. The Counsel for the petitioner submitted that the High Court may grant some instalments for making payment of the arrears of tax.

Under Section 80 of the Central Goods and Service Tax (CGST) Act, 2017 there is power vested in the Commissioner to grant upto 12 instalments for the payment of arrears of tax.

A Single Bench of Justice Dinesh Kumar Singh observed that “This Court does not find this writ petition as maintainable against the assessment order that was passed in 2019. If the petitioner wants to deposit the tax in instalments, the petitioner may approach the Commissioner within a period of seven days from today, and then the Commissioner should decide the application within another period of seven days thereafter for granting instalments for payment of arrears of tax as assessed by the assessing authority.”

To Read the full text of the Order CLICK HERE

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