The Kerala High Court while granting the refund to the taxpayer ruled that all the technical glitches that may occur in between, shall not stand in the way of ultimate relief of the grant of refund to the petitioner.
The Petitioner, Dantara Jewellers assailed the order wherein the petitioner’s claim for refund of taxes paid under Central Goods and Services Tax as well as State Goods and Services Tax have been refused on the ground that there is no evidence to prove the payment of tax by the petitioner.
As per the order of demand of tax and penalty issued under section 129(3) of the State Goods and Services Tax Act, the petitioner remitted an amount of Rs.12,26,064/-. Thereafter, the petitioner challenged the final orders passed under section 129(3) of the State Goods and Services Tax Act, before the Appellate Authority. By virtue of the order, the petitioner was found not liable for payment of any amount of tax, and the Appellate Authority quashed the orders.
The petitioner became entitled to a refund of the amount deposited under section 129(3) of the State Goods and Services Tax Act, for the release of the goods. Pursuant to the order, the petitioner filed an application for a refund of the amount deposited. In the meantime, the respondent issued a show-cause notice to the petitioner asking him to show cause why the claim of the petitioner for refund ought not to be rejected on the ground of absence of details of remittance of the tax amount, as claimed by the petitioner.
The single-judge bench of Justice Bechu Kurian Thomas directed the respondent authority to refund the amount of Rs.12,26,064/-, due to the petitioner as a refund, within a period of 30 days from the date of receipt of a copy of this judgment. All the technical glitches that may occur in between, shall not stand in the way of ultimate relief of the grant of refund to the petitioner as otherwise the sanctity of the whole scheme of section 129 of the State Goods and Services Tax Act will lose the confidence of the assessees to deposit the amount as contemplated under section 129 of the State Goods and Services Tax Act, will be affected.
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