Tax Demand Challenge Rejected: Missed Appeal Deadline and Inaccurate Information Leads to Dismissal of Petition Under GST Act

HC dismissed a petition challenging tax demand orders under MPSGST/CGST Act, 2017. The court rejected the challenge due to petitioner's failure to pursue statutory appeal within prescribed time limit and providing incorrect information in the petition. The total disputed tax demand was Rs. 2,35,36,809/-, which included excess input tax credit, interest, and penalty. Bank account attachment was also upheld.

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Issues:
Challenge to impugned orders passed under section 74 of MPSGST/CGST Act, 2017 and attachment of bank account to secure the demand.

Impugned Orders under Section 74 of MPSGST/CGST Act, 2017:
The petition challenged the impugned orders issued under section 74 of the MPSGST/CGST Act, 2017, demanding Rs. 1,01,11,999/- towards excess Input Tax Credit Availed, Rs. 33,12,811/- towards interest, and Rs. 1,01,11,999/- towards penalty, totaling Rs. 2,35,36,809/-. Another order attached the petitioner's bank account to secure the demand.

Grounds of Challenge:
The primary ground of challenge was the alleged failure to afford a reasonable opportunity and conduct proper scrutiny of records as per due process of law.

Contentions of the Parties:
The Revenue objected to the petitioner's contentions, arguing that the petitioner had not availed the alternative remedy of appeal under Section 107 of the GST Act.

Exhaustion of Remedies:
The petitioner claimed to have exhausted all statutory remedies available in law, although it was revealed that the remedy of appeal had not been pursued within the prescribed time limit. The petitioner's delayed approach to the Court suggested an attempt to circumvent the expired period of limitation.

Dismissal of Petition:
Despite various grounds raised regarding the denial of a reasonable opportunity, the Court declined to delve into those issues. The petition was ultimately dismissed due to the petitioner providing incorrect information in a crucial paragraph of the petition.

Conclusion:
The petition challenging the impugned orders under section 74 of the MPSGST/CGST Act, 2017 and the attachment of the bank account was dismissed by the Court, citing the petitioner's failure to avail the statutory remedy of appeal within the prescribed time limit. No costs were awarded in the matter.

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