2026 (1) TMI 1434 - HC - GST

GST GSTR-3B duplication of proceedings and double taxation leads to quashing of one penalty order for same period

Duplication of proceedings arose where two separate authorities imposed penalties and interest for delayed GSTR-3B filings for the same period; the HC ... Duplication of proceedings - double taxation - delay in filing GSTR-3B returns - penalty and interest - quashing of order - writ petition - HELD THAT:- In the case on hand, two different orders were passed by two different Authorities for imposing delay in filing the GSTR-3B returns pertaining to very same period, viz., April 2020 to March 2021. Hence, it is clear that there is duplication of proceedings, which leads to double taxation. When such being the case, as rightly contended by the petitioner, the impugned order passed by the respondent is not sustainable in law and hence, the same is liable to be quashed. Accordingly, the impugned order dated 06.01.2023 is hereby quashed. In the result, this writ petition is allowed. Issues: Whether the impugned order dated 06.01.2023 imposing interest and penalty for delay in filing GSTR-3B returns for the period April-2020 to March-2021, which duplicates an earlier order for the same period, results in double taxation and is liable to be quashed.Analysis: Two distinct orders were shown to have been passed by different authorities in respect of delay in filing GSTR-3B for the same period, resulting in overlapping demands for interest and penalty. The duplicate proceedings produce double taxation for the same delay period. The respondent accepted the factual position. In these circumstances, the later order is unsustainable as it duplicates an earlier demand and subjects the same taxable event to repeated recovery.Conclusion: The impugned order dated 06.01.2023 is quashed and the writ petition is allowed.