HC Directed Revenue to Decide Appeal Expeditiously as Assessee Deposited Entire GST Amount Demanded

Case Details: JTEKT India Ltd. v. Union of India - [2024] 167 taxmann.com 573 (Punjab & Haryana)

Judiciary and Counsel Details

• Sanjeev Prakash Sharma & Sanjay Vashisth, JJ.
• Amrinder Singh, Adv. for the Petitioner.
• Sunish Bindlish, Sr. Standing Counsel for the Respondent.

Facts of the Case

In the present case, the petitioner had preferred an appeal u/s 107 of the CGST Act, 2017. However, the same was not entertained by the department on the ground of non-payment of pre-deposit as envisaged under section 107 of the CGST Act.

The petitioner submitted that they had already deposited the entire amount demanded, though in dispute. Therefore, it cannot be said that they had to deposit the amount and an additional 10% in terms of section 107(6)(a) of the CGST Act.

High Court Held

The High Court observed that neither the provisions of section 107(6)(a) nor of section 107(6)(b) of the CGST Act would be attracted in cases where the assessee deposits the entire amount while challenging or disputing the same. However, the same amount shall be treated to be sufficient for the purpose of hearing the appeal without insisting on pre-deposit.

Therefore, the High Court held that the petitioner, having already deposited the entire amount, though in dispute, cannot be further asked to deposit the amount either in terms of sections 107(6)(a) or 107(6)(b) of the CGST Act. Accordingly, the writ petitions were allowed.