Double GST Demand Allegation in Highway Project: Gauhati HC Grants 45 Days to File Appeal without Limitation Bar [Read Order]
The Court noted that the dispute involved technical aspects requiring specialized adjudication and, therefore, directed the petitioner to file an appeal under the prescribed mechanism
GST Demand
GST Demand
The Gauhati High Court has granted a 45-day window to construction companies to file an appeal against a GST ( Goods and Services Tax ) demand order alleged to be dual taxation, stating that the limitation period will not act as a bar.
The petitioner, M/s ECI Engineering and Construction Co. Ltd., a constituent of a joint venture engaged in constructing the Dimapur-Kohima National Highway, had challenged an order dated August 23, 2023, passed by the Additional Commissioner, GST, Dimapur.
It was contended that while the GST levy had already been imposed on the joint venture, a separate demand had also been raised on the petitioner individually, resulting in double taxation for the same transaction. The petitioner also questioned the jurisdiction of the authority issuing the order.
The Revenue argued that the impugned order was appealable under the GST Act and that the petitioner should approach the appellate authority instead of invoking writ jurisdiction.
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After hearing both sides, Justice Sanjay Kumar Medhi observed that while a jurisdictional issue may allow a writ petition in certain cases, such questions can also be effectively raised before the appellate forum provided under the statute.
The Court noted that the dispute involved technical aspects requiring specialized adjudication and, therefore, directed the petitioner to file an appeal under the prescribed mechanism.
Invoking its equitable jurisdiction, the Court held that if the appeal is filed within forty-five days, the question of limitation shall not arise, ensuring that the matter is adjudicated on merits.
To balance equities, the interim order granted earlier on January 18, 2024, was directed to remain in force until the disposal of the appeal. The writ petition was accordingly disposed of without expressing any opinion on the merits of the case.
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