M/s.Vani Enterprises Vs The Superintendent (Central… — GST and Indirect Tax | Telangana HC (2025)

M/s.Vani Enterprises Vs The Superintendent (Central… — GST and Indirect Tax | Telangana HC (2025)

What the court decided

AI extract

Outcome

Writ petition disposed of without adjudication of the merits; liberty reserved to the petitioner to avail the statutory appellate remedy under the Central Goods and Services Tax Act; pending miscellaneous petitions (if any), including IA No. 1 of 2025, closed; no order as to costs.

Issue for consideration

Whether Form GST DRC-07 was issued to the petitioner, such that the petitioner could prefer an appeal rather than directly approaching the High Court (petitioner argued DRC-07 was not issued and DRC-01A was not provided). +2 more

Court's answer

The petitioner's first contention - that Form GST DRC-07 was not issued - appears to be incorrect; the Senior Standing Counsel for CBIC drew the Court's attention to the document dated 13.04.2024, which is Form GST DRC-07.

Ratio / Principle

Since the impugned Order-in-Original is appealable under the Central Goods and Services Tax Act and a statutory efficacious remedy is available to the petitioner, the Court declines to interfere and reserves liberty to the petitioner to avail that remedy.

Detailed headnote1 paragraphs

Telangana High Court (Acting Chief Justice Sujoy Paul, author, with Justice Renuka Yara) disposed of Writ Petition No. 8236 of 2025 filed by M/s Vani Enterprises at the admission stage. The petitioner had challenged the Order-in-Original dated 29.03.2024 and Form GST DRC-07 dated 13.04.2024 (levying CGST/SGST and penalty under Section 73(10) of the CGST/SGST Act 2017 for tax period 2018-19) as issued without DIN and without signature, without prior Form GST DRC-01A under Rule 142(1A), and as barred by limitation notwithstanding Notifications No.9 of 2023 (31.03.2023), No.56 of 2023 (28.12.2023) and G.O.Ms.No.118 dated 25.08.2023 of the Government of Telangana, alleged to be ultra vires Section 168A and Articles 14, 19(1)(g) and 265. On admission, the Court noted that the petitioner's contention that DRC-07 was not issued appeared incorrect (DRC-07 dated 13.04.2024 was pointed out) and that the impugned Order-in-Original is appealable under the Central Goods and Services Tax Act; a statutory efficacious remedy being available, the Court declined interference, reserving liberty to the petitioner to avail that remedy. Writ petition disposed of; no costs; miscellaneous petitions closed.

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rE:ANGANA H|GH couRr.?+ IT#[AIi8F (speclai'oiiginal^{Jurisdiction)}

THURSDAY ,THE^{TWENTIETHDAY OF MARCH} ' ""'ii,iio'inousAND AND rwENrY FlvE

PRESENT

THE HONOURABLE^{THEACTING CHIEFJUSTICE SUJOY PAUL} rHE HoNouRAeLe^{s#iJsrlcE RENUKA YARA}

WRIT^{PETITIONNO: 82360F2 o25}

Between:

M/sVaniEnterprises,,l2HS;Yi'l3lli3l{"o"fJ"Elt"""ffi 500045 Telangana^{State Kep uy rr'> r,ror rqvrr rY ' - '} 'VbTi.:l$%""tei-

...PETIT|ONER

AND

1 The Superintendent^{(CentralTax)' Yousufguda Range' Baniara Hills Division'} 2 rndia, Rep.^{by its secretary,Minisrrv of Finance, North Block'} +*:",1,"?Sl New Delhi^-110001 ",^. . r-..^^ ^^n.,,cr.rmc. Reo. bv its^Chairman'

3 il*iiti+ 'New o'etni - 100 ^'"""tg 001.^{3'"J:';1":1,'"1'€:"313":il:'i'T8i"Txlpi#t'lis;cretariat'} ...RESPoNDENTS

Petition^{underArticle 226 of the Constitutionof lndia praying that in the} circumstances^{statedin the affidavitfiled therewith'the High Court may be} pleased to^{issue an appropriatewrit' order or direction more particularly one in} the nature^{of Writ of lvlandamusor any other appropriate Writ or order or} Direction^{declaring- (1) the action of the 1't Respondent in passingthe Order-in-} Original,^{dated29 03'2024 and Form GST DRC-07' dated13 04 2024 without} DIN and^{without signature' in levying CGST/SGSTand Penalty underSection} 73(10)^{of the CGST/SGST Act 2017' without even issuing Form GST DRC-01A} as contemplated^{underRule 142(1A)of the Rules2017 ' fot the tax period 2018-} 19 under^{the CGST/SGSTAct 2017' as arbitrary'contraryto the provisionsof} the CGST/SGST^{Act' 2017, patentlybarred by limitation' withoutjurisdiction as} per Section^{73(1 O) of the CGST/SGS T Acl 2017' more particularly Notifications} issued^{by the 4th Respondentvide No'9 of 2023 daled 31'03-2023'No-56of} z8-12-2o)3 extendins^{the period of limitationbv the 3'd Respondent} ;;;;;,

I I

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and G.o.lvls.No^- 18, 'dated 25.O8.2023 issued by the 2nd Respc,ndent extendin s the Iimitation I)er od to make the assessment, as illegal, ultra vires to Section 16 8A of the C(;S-|/SGST Act 2017 and contrary to Articte 1 4, 19'1)(g) and 265 of the constitutio, of rndia (2) Notification No.g of 2023 dated 31 .O::.2024 and 56 of 2023 dated 2a .1..).2023 issued by the 3rdRespondent, G.O.Mr;.No. 1 18, dated 25.08.2023 issueJ by the Government of Telangana as ultra vires to Section 168A of the CGST/SGST Act ZOlt and consequen y set al;icle the Order-inOriginal, dated 29 03.2OZ4 and Form GST DRC_07, d;ted 1 3.04 2024 for the tax period2O18-19 un(ier the CGST/SGST Act2O1T,as null and void IA NO:1 OF 2025

petition under Section 151 CpC praying that in the circun stances stated in the affidavit filecl in support of the petition, the High Court mity be pleased to ,^{suspend the ole'ation} of the order-in-originar, dated 2g.03.2lza ano rorn] GST DRC-.2, dirted 1 3.04.2024 passed by the 1.t Respondent, fo" the tax period 2O1B-19 under the CGST/SGST Act 2017, pending disposal of he above Writ Petition, as otherra,ise, the petitioner will be put to severe loss and rardship

Counsel for the peritioner: SRl. V. RAJESHWAR RAO Counsel for the Respondent Nos. 1&3: SRI DOMINIC FERNANDESi (senior standing counsel fo. CBIC)

Counset for the Respondent No.2: SRI B. MUKHERJEE REp STi 36fltHEH,-[HXf[;i,",,o

The Court made the following: ORDER

THE HON'BLE THE ACTING CHIEF JUSTICE SUJOY PAUL

AND

THE HON'BLE SMT. JUSTICE RENUKA YARA

WRIT PETITION No.a236 of'2O25

ORDER: (Per the Hon'ble the Acttng Chief Justice Sujoy^Paut)

Sri V.Rajeshwara Rao, learned counsel for the^petitioner; Sri Dominic Fernandes, learned Senior Standing Counsel^for ,rCBIC,^{for respondentNos. 1 and 3; and Sri B. Mukherjee,learned} counsel representing Sri Gadi Praveen Kumar, learned^Deputy Solicitor General of India, for respondent No.2.

Heard on admission.

The opening argument of the learned counsel for the petitioner is that the GST DRC-07 was not issued and therefore, the petitioner cannot prefer an appeal and directly approach^this Court. In addition, it is argued that DRC-O 1 was also^not provided to the petitioner.

4 . Learned Senior Standing Counsel for CBIC appearing for respondent Nos.1 and 3, on the other hald, drawn the attention of this Court to the document dated 13.O4.2O24, which is Form^GST

2

DRC - 07. Thus,, the first contention of the petitione:r appears to be incorrect. 'I'ht, impllgllsd Order-in-Original is appe alable under the Central Goocs and Services Tax Act, 2077. Sincr: a statutory efficacious renrr:rly is ava able to the petitioner, we lecline the interference. Lib.rty is reserved to the petitioner to av;dr the said remed5r.

: Accordingl.r the writ petition is disposed of. No rrder as to costs

Miscellanr:or r s petitions pending, if an5r, 5[s11 staer I closed.

To,

SD/. K. SREERAMA MURTHY PEPUTY^REGISTRAR ,,} . //TRUE COPY// SECTION OFFICER \

1 The Super ntr.ndent (Central Tax), yousufguda Range, Banjarz; Hills Division, Hyderabac.

2 The Secrelar,i, Union of lndia, lvlnistry of Finance, North Bktck, New Delhi _ 110001. The Chairnan, Central Board of lndirect Taxes and Customs, l.linistry of Fin^ance, Decartment of Revenue, North Slo"k, C"ntio'i3;cre ;te riat, New Delhi - 100 001

4 One CC to SRl. V. RAJESHWAR RAO Advocate IOpUCI 5 9!^{g_Cg-t9S R t. D O I,I N I C FE R NAND E} S t i"ni.i it*Oi^-g' co u n r; et f or cBrc) [oP Ja]

6 9.19 9C^{tO SRI. GADIPRAVEEN KUI,4AR,} DY.SOLICITOR I3I:.NERAL OF rNDrA [OPIJC]

7 Two CD Copies

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HIGH COI.,RT

DATED:2010312025

ORDER

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WP.No.8236 of 2025

DISPOSING OF THE WRIT PETITION WITHOUT COSTS

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