2025 (1) TMI 1508 - HC - GST

Writ Petition Against Section 174(2) of GST Act Dismissed; Interim Orders Effective Pending SC Review

Super Tech Forgings (India) Pvt. Ltd. Versus State of Punjab and Others

The Punjab and Haryana HC dismissed the writ petition challenging section 174(2) of the GST Act, 2017, aligning with prior rulings affirming its ... Challenge to section 174(2) of the GST Act, 2017 - HELD THAT:- The issue involved in the present petition stands finally adjudicated by this Court in Tecnimont Spa India Project Office vs. State of Punjab and another [2024 (12) TMI 1223 - PUNJAB AND HARYANA HIGH COURT], wherein, it is held that 'Challenge to vires of the said section was laid before the High Court of Kerala in bunch of cases which were decided in favour of the Revenue holding the provisions as within the framework of the Constitution of India, and also the action was held to be within the competence of the department.' Petition disposed off. The Punjab and Haryana High Court, comprising Hon'ble Mr. Justice Sanjeev Prakash Sharma and Hon'ble Mr. Justice Sanjay Vashisth, addressed a writ petition concerning the challenge to section 174(2) of the GST Act, 2017. The court noted that this issue had been previously adjudicated in 'Tecnimont Spa India Project Office vs. State of Punjab and another,' where it was held that the provision was constitutional and within the department's competence. This decision aligned with the Kerala High Court's ruling, which was challenged in the Supreme Court in T.S. Belaraman vs. The Commercial Tax Officer, where leave was granted and interim relief provided. Consequently, the High Court decided to dispose of the current writ petition, making it subject to the Supreme Court's final decision in T.S. Belaraman. Interim orders from the High Court will remain effective until the Supreme Court's ruling. All pending applications were also disposed of accordingly.