Beneficial special appellate procedure may revive time-barred appeals when prescribed conditions are met under the notification

A beneficial special appellate procedure under Notification No. 53/2023-Central Tax is explained as extendable to appeals rejected solely as time-barred, even where the rejection order was passed after the notification's cut-off date. The note states that the notification may cover similarly situated cases within the relevant appeal period, and that a petitioner can seek its benefit by satisfying the prescribed payment and other conditions. On compliance, the appellate rejection does not survive and the matter is to be reconsidered by the first appellate authority under the special procedure.

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Issues: (i) Whether the petitioner, whose appeal had been rejected as time-barred, could be extended the benefit of Notification No. 53/2023-Central Tax despite the impugned order having been passed after the notification's cut-off date; (ii) whether the rejection of the appeal required to be set aside and the matter remitted for fresh consideration on compliance with the notification's conditions.

Issue (i): Whether the petitioner, whose appeal had been rejected as time-barred, could be extended the benefit of Notification No. 53/2023-Central Tax despite the impugned order having been passed after the notification's cut-off date.

Analysis: Section 107(4) of the Bihar Goods and Services Tax Act, 2017 prescribes the period for filing an appeal and the limited period for a delayed appeal, and the notification issued under Section 148 of the Central Goods and Services Tax Act, 2017 created a special procedure for certain appeals rejected only on the ground of limitation. The Court held that the notification was beneficial in nature and found no rational basis for confining it only to orders passed on or before 31.03.2023, when the notification itself was issued later and could reasonably cover orders passed within the preceding appeal period.

Conclusion: The benefit of Notification No. 53/2023-Central Tax was held to be available to the petitioner.

Issue (ii): Whether the rejection of the appeal required to be set aside and the matter remitted for fresh consideration on compliance with the notification's conditions.

Analysis: Since the petitioner was held entitled to the notification's benefit, the Court directed that the petitioner be permitted to satisfy the requirements prescribed in the notification, including the payment conditions and other stipulated criteria. On such compliance, the appellate rejection could not survive and the appeal was to be reconsidered by the first appellate authority under the special procedure.

Conclusion: The order in appeal was directed to be set aside and the matter remitted to the first appellate authority for fresh consideration upon compliance with the notification.

Final Conclusion: The writ petition succeeded, and the petitioner was permitted to avail the special appeal procedure under the notification, resulting in restoration of the appeal for reconsideration on fulfillment of the prescribed conditions.

Ratio Decidendi: A beneficial statutory notification granting a special appellate procedure should be construed to extend to similarly situated cases within the operative appeal period, and an appeal rejected solely on limitation may be revived where the prescribed conditions are satisfied.

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