Calcutta High Court (Appellete Side)
Debson Pumps Pvt. Ltd. & Anr vs Assistant Commissioner Of State ... on 21 September, 2022
Item No.14.
IN THE HIGH COURT OF JUDICATURE AT CALCUTTA
CIVIL APPELLATE JURISDICTION
APPELLATE SIDE
HEARD ON: 21.09.2022
DELIVERED ON:21.09.2022
CORAM:
THE HON'BLE MR. JUSTICE T. S. SIVAGNANAM
AND
THE HON'BLE MR. JUSTICE SUPRATIM BHATTACHARYA
M.A.T. No.1496 of 2022
With
I.A. No.CAN 1 of 2022
With
I.A. No.CAN 2 of 2022
Debson Pumps Pvt. Ltd. & Anr.
Vs.
Assistant Commissioner of State Tax, Bowbazar Charge, Dharmatola & Anr.
Appearance:-
Mr. Vinay Kr. Shraff,
Ms. Priya Sarah Paul ..... for the appellants.
Mr. T. M. Siddique,
Mr. Debasish Ghosh,
Mr. Nilotpal Chatterjee ... for the State.
JUDGMENT
(Judgment of the Court was delivered by T.S. SIVAGNANAM, J.)
Re: I.A. CAN 1 of 2022
1. This application has been filed to condone the delay of 109
days in filing the instant appeal.
2. We have heard Mr. Vinay Kr. Shraff, learned counsel
appearing for the appellants and Mr. T. M. Siddique, learned
Advocate for the State.
3. We are satisfied with the reasons assigned in the affidavit
filed in support of the application. Accordingly, the delay in
filing the instant appeal is condoned.
4. The application being I.A. CAN 1 of 2022 is allowed.
Re: M.A.T. No.1496 of 2022
5. This intra Court appeal is directed against the order dated
25th April, 2022 in W.P.A. No.5663 of 2022. By the said order,
the learned Single Bench has declined to grant any interim
direction and has directed the respondents to file their
affidavit-in-opposition. Aggrieved by such order, the appellants
are before us.
6. We have heard Mr. Vinay Kr. Shraff, learned counsel
appearing for the appellants duly assisted by Ms. Priya Sarah
Paul, learned Advocate and Mr. T. M. Siddique, learned Advocate
for the State duly assisted by Mr. Debasish Ghosh, learned
Advocate.
7. The appellants had filed the writ petition challenging the
order of the Assistant Commissioner of Revenue, Bowbazar Charge,
Directorate of Commercial Taxes, Government of West Bengal dated
22nd February, 2022, which is a consolidated order for three
periods. Admittedly, as against the order passed by the
Assistant Commissioner of Revenue, there is an appellate remedy
available under the Act in terms of Section 107(1) of the West
Bengal Goods and Services Tax Act, 2017, which the appellants
did not avail on account of the lockdown being imposed.
8. Mr. Shraff would submit that in terms of the order passed
by the Hon'ble Supreme Court, time for filing such statutory
appeals stood extended up to 20th February, 2022 and thereafter
90 days period, which is the normal period of limitation to
prefer an appeal before the statutory appellate authority. The
appellants are willing to file an appeal before the appellate
authority but has got two grievances. Firstly, the entire
amount, which is alleged to be due and payable by the appellants
on account of improper availment of input tax credit has been
debited from the appellants' electronic credit ledger. The
second grievance is that the department has issued a garnishee
notice to the bankers of the appellants. Consequently, the
bankers are not permitting the appellants to operate the bank
account. Therefore, it is submitted that the appellants should
be permitted to operate the bank account and the amount which
has been debited from the credit ledger should be recredited to
the appellants' account.
9. We have heard Mr. Ghosh, learned Government counsel on the
above submission. In our view, no useful purpose would be
served in keeping the writ petition pending and the following
direction would not only take care the interest of the
appellants but also would safeguard the interest of revenue.
Accordingly, the appeal and the writ petition are disposed of
with the following directions.
10. The appellants are directed to file a statutory appeal
within a period of 30 days from the date of receipt of the
server copy of this judgment and order and remit 10% of the
disputed tax along with the appeal memorandum. Upon such
payment of the 10% of the disputed tax and filing the appeal,
the Assistant Commissioner of Revenue shall address the
appellants' bankers and keep in abeyance the garnishee notice so
as to enable the appellants to operate their bank account.
11. The appellants are granted liberty to file appropriate
application before the appellate authority with regard to the
prayer that the excess amount, which has been debited from the
appellants' electronic credit ledger should be recredited to
their credit. If such a prayer is made, the appellate authority
shall consider the same and pass orders on merits and in
accordance with law, either along with the appeal or by treating
the same as an interim application.
12. The appellate authority shall afford an opportunity of
personal hearing to the appellants and hear and dispose of the
appeal on merits and in accordance with law as expeditiously as
possible but preferably within a period of 8 weeks from the date
on which the personal hearing is concluded.
13. Since this Court has issued the above directions, the
appellants cannot file an appeal in electronic format.
Therefore, the appellate authority shall permit the appellants
to file the appeal petition in physical format and this
direction shall not be treated as a precedent.
14. With the above directions, the appeal and the connected
application being CAN 2 of 2022 are disposed of.
15. No order as to costs.
16. Urgent photostat certified copy of this order, if applied
for, be furnished to the parties expeditiously upon compliance
of all legal formalities.
(T.S. SIVAGNANAM, J)
I agree,
(SUPRATIM BHATTACHARYA, J.)
NAREN/PALLAB(AR.C)
