Late Fee Waiver benefits under Amnesty Scheme cannot be denied for GSTR 9 Returns Filed before Notification Issuance: Himachal Pradesh HC [Read Order]
Considering the intent of the amnesty scheme, the Himachal Pradesh High Court ruled that late fee waiver benefits cannot be denied for GSTR 9 returns filed before the notification's issuance
![Late Fee Waiver benefits under Amnesty Scheme cannot be denied for GSTR 9 Returns Filed before Notification Issuance: Himachal Pradesh HC [Read Order]](https://www.taxscan.in/wp-content/uploads/2024/12/GST-GSTR-9-GST-Return-Amnesty-Scheme-Himachal-Pradesh-High-Court-taxscan.jpg "Late Fee Waiver benefits under Amnesty Scheme cannot be denied for GSTR 9 Returns Filed before Notification Issuance: Himachal Pradesh HC [Read Order]")
In a recent ruling, the Himachal Pradesh High Court held that late fee waiver benefits under an amnesty scheme cannot be denied for GSTR 9 returns filed before the issuance of the notification granting such benefits. R.T. Pharma, the petitioner engaged in the manufacturing and sale of medicines, filed a writ petition before the Himachal Pradesh High Court challenging a late fee of...
In a recent ruling, the Himachal Pradesh High Court held that late fee waiver benefits under an amnesty scheme cannot be denied for GSTR 9 returns filed before the issuance of the notification granting such benefits.
R.T. Pharma, the petitioner engaged in the manufacturing and sale of medicines, filed a writ petition before the Himachal Pradesh High Court challenging a late fee of Rs. 12,71,754 imposed for the delayed filing of GSTR 9 and GSTR 9C returns for the financial year 2019-20.
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The petitioner had filed these returns on March 13, 2023, beyond the original due date of February 7, 2020, citing financial struggle. The Central Board of Indirect Taxes and Customs ( CBIC ) issued Notification No. 07/2023 on March 31, 2023, waiving late fees for returns filed between April 1, 2023, and June 30, 2023, as part of an amnesty scheme.
The petitioner filed before this window and was denied the benefit of the waiver. The petitioner argued that denying the waiver solely based on the filing date violated Article 14 of the Constitution as it was unequal treatment.
The petitioner relied on a Kerala High Court judgment in a similar case, which ruled that proactive taxpayers should not be excluded from waiver benefits. The department argued that the notification clearly limited the waiver to filings made during the prescribed amnesty period.
The bench comprising Tarlok Singh Chauhan ( Acting Chief Justice ) and Justice Satyen Vaidya observed that the intent of the notification was to encourage compliance, not penalize taxpayers who made efforts to rectify delays.
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The court held that denying the benefit to the petitioner, who filed before the amnesty period, contradicted the intention of the notification. The court also referenced the Kerala High Court decision to explain the fairness in tax administration.
The court quashed the late fee order and the show cause notice. The court remanded the matter to the concerned authority for reconsideration. The court directed the respondent to reassess the petitioner’s liability, extending the benefit of the amnesty scheme. The writ petition was allowed.
To Read the full text of the Order CLICK HERE
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