Writ Petition Not Maintainable when Alternate Remedy u/s 112 of BGST Act is Available: Patna HC Grants Liberty to Approach Tribunal [Read Order]

The Patna High Court held that writ petition is not maintainable where an alternate statutory remedy is available under section 112 of the Bihar Goods and Services Tax Act (BGST), 2017, and High court grants liberty to the petitioner to avail remedy before the Tribunal.

The petitioner, Ajay Kumar, a sole proprietor of a ship firm, filed a writ petition challenging the appellate order dated 27.07.2023 passed by the Additional Commissioner (Appeal), where the appellate authority upheld the order passed under section 74 of the GST Act confirming tax, interest, and penalty.

The petitioner also sought to set aside the original adjudication order dated 08.01.2021 and consequential demand notice issued in Form DRC-07 imposing a total liability of ₹27,35,372 under Central Goods and Service Tax (CGST) and State Goods and Service Tax (SGST).

The respondent initiated the proceedings on the ground that certain amounts reflected in GSTR-7 were not disclosed in GSTR-3B, leading to allegations of suppression of taxable turnover.

The petitioner contended that the authorities failed to consider the GSTR-3B returns, Annual Return in Form GSTR-9, and GSTR-2A and the taxable turnover had already been disclosed.

Additionally, the petitioner sought relief against coercive recovery measures including bank account attachment and prayed for restraining the authorities from initiating further recovery proceedings.

Anurag Saurav, counsel for the petitioner, submitted that the impugned orders suffer from non-consideration of material evidence and are liable to be set aside.

Vikash Kumar, appeared as counsel for the respondent.

Justice Mohit Kumar Shah and Justice Arun Kumar Jha observed that the appeal filed by the petitioner had already been rejected and the statutory scheme provides for a further remedy before the Tribunal under section 112 of the Finance Act.

The Court granted liberty and permitted the petitioner to avail the statutory remedy by approaching the tribunal.

In the light of the facts and circumstances, the writ petition was disposed of by the court. .

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