Gujarat HC grants permission to pay Tax liability in Instalments [Read Order]
![Gujarat HC grants permission to pay Tax liability in Instalments [Read Order]](https://www.taxscan.in/wp-content/uploads/2023/07/Gujarat-High-Court-permission-pay-Tax-liability-Tax-liability-Tax-liability-in-Instalments-Instalments-taxscan.jpg "Gujarat HC grants permission to pay Tax liability in Instalments [Read Order]")
The Gujarat High Court has overturned the decision of the Adjudicating Authority and granted permission to an assessee to fulfil their tax liability Nirajkumar Nareshkumar Lakhyani, the petitioner is engaged in the business of trading in metal scrapes and holds a valid registration certificate under the Central Goods and Services Tax Act, 2017 and the Gujarat Goods Services and Tax...
The Gujarat High Court has overturned the decision of the Adjudicating Authority and granted permission to an assessee to fulfil their tax liability
Nirajkumar Nareshkumar Lakhyani, the petitioner is engaged in the business of trading in metal scrapes and holds a valid registration certificate under the Central Goods and Services Tax Act, 2017 and the Gujarat Goods Services and Tax Act, 2017.
The respondent’s officer visits the business premises of the petitioner to enquire about the details of certain purchases, but the premises of the petitioner was closed. A summons was issued on 30.11.2022 under section 70(1) of the Central Goods and Services Tax Act, 2017 and under section 70(1) of the Gujarat Goods and Services Tax Act, 2017. Subsequently, the authorities attached the aforementioned bank account of the petitioner.
Ms. Vaibhavi Parikh seeks time stating that as per prayer made in paragraph No. 7(c), the petitioner is ready and willing to make payment of outstanding tax in 15 equal instalments. She further stated that she would also file a separate undertaking giving the schedule of payment incorporating 15 equal instalments by which the amount may be paid.
The petitioner stated that no adjudication proceedings are pending in the case of the Petitioner before the Respondents. But respondent No.3 tendered an unsigned statement of disputed input tax credit which indicated a total outstanding amount to the tune of Rs. 2,13,04,290/- (CGST-Rs. 1,06,52,145/- + SGST – Rs. 1,06,52,145/-).
The petitioner has on oath further undertaken to pay the disputed tax liability adjudged to the tune of Rs. 2,13,04,290/- by paying the same in 15 equal monthly installments.
The division bench comprising Justice NV Anjaria and Devan M Desai observed that since the petitioner has shown readiness and willingness to pay up the demand for Input Tax Credit raised by the authorities although without prejudice to the rights, the Court allowed the petitioner to pay within the span of 15 equal monthly instalments the tax demanded.
The Court further lift the attachment of the bank account of the petitioner.
To Read the full text of the Order CLICK HERE
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