2023 (6) TMI 1186 - HC - GST

Medical Disability Justifies Late GST Appeal Filing: Petitioner Granted Relief Under Compassionate Procedural Interpretation

HC allowed the petitioner's challenge to a GST demand notice and appeal dismissal. The court set aside the order due to the petitioner's documented ... Condonation of delay in filing appeal - sufficient reasons for delay present or not - delay due to medical treatment of the petitioner - contention of the petitioner is that the inability on the part of the petitioner to prefer the appeal within the prescribed period was due to some bona fide reasons, unavoidable circumstances and sufficient cause for delay - HELD THAT:- Admittedly, the appeal was filed beyond time, however, in the peculiar set of facts and circumstances, the reason for delay prima facie, appears to be bona fide. Considering the submissions of the learned counsel for the petitioner, the impugned order passed by the Appellate Authority is set aside and the matter is remanded to the Appellate Authority (opposite party no.1) with a direction to consider and adjudicate upon the appeal filed by the petitioner on merits without raising any objection on the limitation, after giving notice and opportunity of hearing to all concerned. The present petition is partly allowed. Issues involved:The issues in this case involve challenging an order passed under Section 107(11) of the Central Goods and Services Tax/U.P. Goods and Services Tax, as well as an order passed under Section 74(9) of the CGST/SGST Act. The petitioner, engaged in the business of supplying construction materials, contests a demand notice for GST and penalties.Order dated 26.12.2022:The petitioner challenged the order dated 26.12.2022 passed by the Additional Commissioner, Grade-2 (Appeal), State Tax, Gonda, U.P., which dismissed the appeal filed by the petitioner. The appeal was dismissed on the ground of being filed beyond the period of limitation.Grounds of challenge:The petitioner contended that the delay in filing the appeal was due to the petitioner's serious illness, Pott's Spine, which required continuous medical treatment from 05.02.2021 to 19.07.2022. The medical certificate issued by the District T.B. and Chest Centre was submitted as evidence of the illness.Legal arguments:The petitioner argued that there were bona fide reasons, unavoidable circumstances, and sufficient cause for the delay in filing the appeal. Reference was made to Section 112 of the SGST Act and the Central Goods and Services Tax (Ninth Removal of Difficulties) Order, 2009, to support the contention that the appeal could still be filed within the limitation period.Judicial decision:After considering the submissions, the Court set aside the impugned order dated 26.12.2022 and remanded the matter to the Appellate Authority for adjudication on merits without objection on the limitation. The petitioner was granted two weeks to file the appeal, with an undertaking not to seek adjournments except under unavoidable circumstances.Final remarks:The Court clarified that the order was passed without delving into the merits of the case, and it was specifically tailored to the unique circumstances presented. The petition was allowed in part, providing the petitioner with an opportunity to have the appeal considered on its merits by the Appellate Authority.