Appeal Restored: Court Overturns Delay Refusal in GST Case Due to Medical Reasons, Orders Hearing on Ledger Issue.

The HC set aside the Appellate Authority's decision, which had refused to condone the delay in filing an appeal under the GST Act. The Court found the refusal arbitrary, given the petitioner's medical reasons. The appeal was restored, and the Appellate Authority was instructed to hear it on its merits, addressing the electronic ledger debit issue. The writ petition was disposed of without costs, and parties were granted access to a certified copy of the order.

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Issues:
Challenge to adjudication order under GST Act, Appeal barred by limitation, Refusal to condone delay by Appellate Authority, Consideration of medical reasons for delay, Disbelief of explanation by Appellate Authority, Jurisdiction of Appellate Authority, Condonation of delay, Restoration of appeal, Opportunity for hearing, Debit from electronic ledger, Disposition of writ petition.

Analysis:
The petitioner challenged an adjudication order under the Central Goods and Services Tax Act, 2017/West Bengal Goods and Services Tax Act, 2017, which was issued in Form DRC-07. The appeal filed before the Appellate Authority was found to be time-barred. The Appellate Authority rejected the appeal citing the absence of a provision to accept appeals beyond the prescribed limitation period under Section 107 of the Act.

During the proceedings, the petitioner explained the delay in filing the appeal, citing medical reasons. The Appellate Authority, although not questioning the medical certificate provided, concluded that since the petitioner continued business activities, there was no valid reason for the delay. The Court noted that the Appellate Authority's decision was unjustified and arbitrary, especially considering the Division Bench's precedent allowing appeals beyond the limitation period under similar circumstances.

The Court held that the Appellate Authority erred in not considering the application for condonation of delay. It emphasized that the petitioner's compliance with statutory obligations, despite illness, should not be penalized. Consequently, the Court set aside the Appellate Authority's order, condoned the delay, and restored the appeal for further proceedings.

The Appellate Authority was directed to hear and decide the appeal on its merits, providing an opportunity for the petitioner to present their case expeditiously. Additionally, the issue of the amount debited from the petitioner's electronic ledger was to be addressed by the Appellate Authority during the appeal process.

Ultimately, the writ petition was disposed of with no order as to costs, and parties were granted access to a certified copy of the order upon request and compliance with necessary formalities.

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