Petitioner's Challenge to Power of Rectification Upheld

The court found merit in the petitioner's argument challenging the exercise of power of rectification under Section 161 of the Uttar Pradesh Goods and Services Tax Act, 2017. It directed respondents to file a response within four weeks, with further proceedings scheduled thereafter. The court also stayed the effect and operation of the order dated 4.8.2020 until further notice.

---

---

Issues:
Challenge to the exercise of power of rectification under Section 161 of Uttar Pradesh Goods and Services Tax Act, 2017.

Analysis:
The petitioner's counsel argued that once the appellate authority has passed an order on merit, the entire order should not have been recalled and the appeal should not have been restored for a fresh hearing under Section 161 of the Act. Reference was made to a judgment of the Apex Court in the case of M/S. Deva Metal Powders Pvt. Ltd v Commissioner, Trade Tax, U.P 2008 NTN (36) 4. Upon examining the appellate authority's earlier order and the impugned order, the court found merit in the petitioner's argument, indicating that the matter requires further consideration.

The court directed all respondents to file a response within four weeks, with a provision for a reply to be filed within a week thereafter. The case was then listed for further proceedings. Additionally, the court ordered that until further notice, the effect and operation of the order dated 4.8.2020, as provided in the petition, shall remain stayed. The judgment was delivered by Hon'ble Ajit Kumar, J., with representation from Aditya Pandey for the petitioner and the learned Standing Counsel for the State respondents.

---