2026 (1) TMI 49 - HC - GST

GST appeal filing: hard-copy and certified-order upload objections u/s107/r.108(1); rejection set aside, remanded for merits hearing.

Rejection of a GST appeal solely for non-filing of a hard copy and alleged non-upload of a certified copy of the impugned order was held contrary to s.107 ... Rejection of appeal filed by the petitioner in Form GST APL-02 for the reason that the dealer has not submitted hardcopy as mandatory under Section 107 of the Jammu and Kashmir GST Act, 2017 - Failure to upload the certified copy of the order impugned - HELD THAT:- Section 107 of the J&K GST Act provides for filing of an appeal before the appellate authority against the order passed by the adjudicating authority. Sub-Section-(5) of Section 107 provides that every appeal in this section shall be filed in such form and verified in the prescribed manner. Rule 108(1) of the J&K GST Rules clearly provides that the appeal shall be filed along with all the relevant documents either in Form GST APL-01 electronically or otherwise as may be notified by the Commissioner - rejection of the appeal merely on the ground that hard copy of the appeal has not been filed is unsustainable. The respondents rather than rejecting the appeal on this technical ground could have granted time to the petitioner to file the same within some stipulated time, if required. Failure to upload the certified copy of the order impugned - HELD THAT:- In the present case, the filing of the hard copy was not mandatory, therefore, rejection of the appeal merely on this ground affecting the substantial rights of the parties, is unsustainable and requires to be set aside. It is well settled that substantial justice cannot be sacrificed on the ground of mere technicalities. The mode of electronic filing stands provided in the rules and, therefore, there was no infraction of the same. This apart, rules of procedure are of hand maiden of justice and, therefore, the appeal could not be dismissed on the ground of technicalities. In Saraogi E-Ventures Private Limited & ors. vs. The Assistant Commissioner CGST & ors. [2023 (11) TMI 766 - CALCUTTA HIGH COURT], the Hon’ble Calcutta High Court has set aside the order rejecting the appeal for no submitting certified copy of the order as the petitioner has filed appeal within limitation period on GST portal along with the copy of the order. The Hon’ble Court also observed that the appeal should not be rejected on the hyper-technical grounds. The impugned order dated 06.03.2023 is set aside. The matter is remanded back to the respondent No. 3 to decide the appeal afresh on merits in accordance with law after affording an opportunity of hearing to the parties - Petition allowed by way of remand. Issues: Whether rejection of an appeal filed electronically on the GST portal for non-submission of hard copy/certified copy was valid and whether the impugned rejection ought to be set aside and the appeal decided on merits after affording an opportunity of hearing.Analysis: Section 107(5) prescribes that appeals shall be in the prescribed form and verified in the prescribed manner. Rule 108 permits filing of an appeal in FORM GST APL-01 electronically and issues a provisional acknowledgement; it requires submission of a certified copy within seven days but treats the appeal as filed only upon final acknowledgement. The rule contemplates electronic filing as a valid mode and any alternative mode must be notified by the Commissioner. The amendment to Rule 108 (S.O. 104) removed the requirement of submitting a certified copy where the order is uploaded on the portal. Where the appeal was filed online within the statutory period and the impugned order was uploaded on the portal, rejection solely for non-submission of a hard copy or certified copy is a technical ground affecting substantial rights. Dismissal on such procedural technicality without granting opportunity of hearing is contrary to principles of natural justice; established authority supports remand for adjudication on merits rather than hyper-technical rejection.Conclusion: The rejection of the electronically filed appeal for non-submission of the hard copy/certified copy is unsustainable. The impugned order dated 06.03.2023 is set aside and the appeal is remanded to the Appellate Authority to decide on merits after affording an opportunity of hearing.