Delay Beyond GST Act Limitation Can Still Be Condoned by Constitutional Courts: J&K HC Quashes Order Dismissing Appeal as Time-Barred [Read Order]

The Jammu & Kashmir High Court has held that while the GST ( Goods and Services Tax) Act prescribes a strict limitation period for filing appeals, constitutional courts are not barred from condoning delay in exceptional circumstances.

A writ petition was filed by M/s Parshotam Electronics challenging the order dated 05.07.2024, whereby its statutory appeal against a demand order was dismissed by the State Taxes Appellate Authority as time-barred under Section 107 of the J&K GST Act, 2017.

The petitioner explained that the delay of 20 days occurred due to his undergoing a critical surgery in December 2023, which required extensive pre-operation check-ups and prolonged post-operative recovery. Supporting medical records from Shri Mata Vaishno Devi Narayana Super-speciality Hospital were placed on record and not disputed by the Revenue.

While the State argued that the appellate authority had correctly rejected the appeal as per the statute, the Court ruled that constitutional courts retain inherent powers to do complete justice in appropriate cases.

The bench of Division bench of Justices Rajesh Sekhri and Rajnesh Oswal ruled that “It is true that the appellate authority cannot entertain an appeal beyond the period prescribed under Section 107 of the GST but at the same time the said limitation contained in the Act does not prohibit constitutional Courts in appropriate cases from condoning the delay.”

The court, noting the petitioner’s medical condition a bona fide ground for delay, quashed the order dismissing the appeal as time-barred, condoned the delay, and directed the appellate authority to hear and decide the appeal on merits expeditiously.

The Court clarified that it had not expressed any opinion on the merits of the tax demand itself.

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