M/S. Subash Chandra vs Deputy Commissioner
2025 Latest Caselaw 5215 Ori

Orissa High Court

M/S. Subash Chandra vs Deputy Commissioner on 21 March, 2025

Bench: Arindam Sinha, M.S. Sahoo

              IN THE HIGH COURT OF ORISSA AT CUTTACK
                                  WP(C) No.6610 of 2025
            M/s. Subash Chandra         ....                                   Petitioner
            Agarwal, Sambalpur
                                                                 Represented by Adv.-
                                                        Ms. Itishree Tripathy, Advocate
                                             -versus-
            Deputy Commissioner,        ....                            Opposite Parties
            GST and Central Excise,                              Represented by Adv.-
            Sambalpur and another
                                                               Mr. A. Kedia, Advocate
                                                                (Jr. Standing Counsel)

                                             CORAM:
                     THE HON'BLE MR. JUSTICE ARINDAM SINHA,
                           THE ACTING CHIEF JUSTICE
                                      AND
                       THE HON'BLE MR. JUSTICE M.S. SAHOO
                                              ORDER

21.03.2025 Order No.

01. 1. Ms. Tripathy, learned advocate appears on behalf of petitioner and

submits, assuming though not admitting that there could be allegation of

suppression by her client, the determination of amount of service tax due

was not made anywhere near within one year from date of the notice. She

submits, the facts are glaring for her to demonstrate that impossibility to

determine within the time cannot be case of revenue. She relies on use of

word 'shall' in sub-section (4B) under section 73 in Finance Act, 1994 to

make her point.

2. She relies on judgment dated 4th April, 2024 of a Division Bench

in the High Court of Patna (Civil Writ Jurisdiction Case no.18398 of

2023) M/s. Kanak Automobiles Pvt. Ltd. v. Union of India and others

(tiol print). We reproduce below paragraph-10 from the judgment.

"10. Here, we agree that it is not an absolute mandate that the proceedings should be completed within one year from the notice; but it requires the statutory authority to take all possible steps, so to do and conclude the proceedings within an year. No steps were taken in the entire one year period, which results in the frustration of the goal of expediency as required statutorily. We hence find that the proceedings cannot be continued."

3. Mr. Kedia, learned advocate, Junior Standing Counsel appears on

behalf of revenue. We require revenue to issue instruction for being heard

on adjourned date. Mr. Kedia prays for three weeks.

4. List on 7th April, 2025. Impugned order dated 2nd November, 2022

will remain stayed till next date of hearing.

                                                                            ( Arindam Sinha )
                                                                           Acting Chief Justice



Designation: Junior Stenographer                                             ( M.S. Sahoo )

Location: HIGH COURT OF ORISSA
Date: 21-Mar-2025 15:55:55                                                       Judge
        Jyoti