Tax Dispute Resolution: 20% Deposit Allows Proceedings Stay, Limitation Period Suspended Pending Tribunal Constitution

HC granted relief under Article 226, directing petitioner to deposit 20% of disputed tax amount to obtain stay of proceedings. State acknowledged Tribunal's non-constitution and agreed to suspend limitation period. Petitioner must file appeal once Tribunal is constituted, with potential consequences for non-compliance. Bank account attachments to be released upon payment.

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Issues involved:
The petition seeks relief under Article 226 of the Constitution of India due to non-constitution of the Tribunal preventing the petitioner from availing statutory remedy under the Bihar Goods and Services Tax Act.

Judgment Details:

1. The petitioner desires to appeal against an impugned order before the Appellate Tribunal under the Bihar Goods and Services Tax Act, but is unable to do so due to the non-constitution of the Tribunal, depriving the petitioner of the statutory remedy.

2. The respondent State authorities have acknowledged the non-constitution of the Tribunal and issued a notification for removal of difficulties, stating that the period of limitation for appealing before the Tribunal shall start only after the Tribunal is constituted.

3. The Court orders that the petitioner, upon depositing a sum equal to 20 percent of the remaining tax amount in dispute, must be granted the benefit of stay under the Act. This is to balance the equities due to the non-constitution of the Tribunal by the authorities.

4. The statutory relief of stay is not open-ended, and the petitioner is required to file an appeal under the Act once the Tribunal is constituted and functional. Failure to do so may result in the authorities proceeding further in accordance with the law.

5. If the petitioner complies with the order and pays the required amount, any bank account attachment due to the tax demand shall be released.

6. The writ petition is disposed of with the above directions and observations, providing the petitioner with the necessary relief and guidance on future actions regarding the appeal process before the Tribunal.

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