Larsen & Toubro Limited Vs Joint Commissioner (ST)
Date: August 20, 2023
Subject Matter
Pre-condition payment for GST First Appeals can be adjusted using unutilized ITC from the Electronic Credit Ledger
Summary
The court ruled that the pre-condition payment for GST First Appeals can be adjusted using unutilized Input Tax Credit (ITC) from the Electronic Credit Ledger. This ruling has significant implications for taxpayers involved in GST First Appeals, as it allows them to utilize existing credits to fulfill their financial obligations related to appeals. The judgment also emphasizes the need for tax authorities to follow due process and law in handling such cases. Overall, the ruling provides clarity on the issue of pre-deposit in GST First Appeals and ensures that taxpayers are not unduly burdened by such requirements.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
Mr.C.Harsharaj, learned Additional Government Pleader takes notice on behalf of the respondents.
2. By this common order, both the writ petitions are disposed of at the time of admission after hearing the learned counsel for the petitioner and the learned Additional Government Pleader for the respondents by directing the first respondent to number the appeal filed by the petitioner against the order passed by the second respondent, which have been impugned before the first respondent.
3. The first respondent shall number the appeal by permitting the petitioner to debit the amounts that are lying unutilized in the petitioner’s Electronic Credit Ledger towards pre-deposit under Section 107(6) of the Tamil Nadu Goods and Services Tax Act, 2017 and dispose the same on merits and in accordance with law in its turn. No costs. Consequently, connected Writ Miscellaneous Petitions are closed.