2026 (2) TMI 167 - HC - GST

Payment of admitted tax liabilities: time allowed to pay outstanding liabilities for specified assessment years; writ petition disposed.

The petition concerned deferment of tax recovery and a request for time to pay admitted tax liabilities for specific assessment years. The court, invoking ... Payment of admitted tax liabilities - deferment of recovery proceedings - stay of recovery - remittal to Assessing Officer - interest of justice - HELD THAT:- The petitioner had restricted his relief to the extent to request this Court to grant time period of 4 weeks to the petitioner to make the payment of admitted tax liabilities for the remaining assessment years, viz., 2017-2018, 2018-2019 & 2020-2021 since it will be sufficient to meet out the case of the petitioner. Therefore, by considering the above submissions and in the interest of justice, this Court passes the orders - petitioner is directed to make payment of admitted tax liabilities - Writ petition is disposed of. Issues: Whether the petitioner should be granted time to pay admitted tax liabilities for assessment years 2017-2018, 2018-2019 and 2020-2021 and whether recovery proceedings in respect of those years should be deferred.Analysis: The petition concerns recovery proceedings for multiple assessment years, of which separate orders already operate in respect of AY 2019-2020 (stay) and AY 2023-2024 (set aside and remitted). The remaining years involve admitted liabilities which the petitioner proposes to pay within a specified short period. The relief sought in relation to these remaining years is limited to a time extension for payment and suspension of recovery pending such payment. The Court considered the limited nature of the relief sought, the existence of stayed/remitted proceedings for other years, and the interest of justice in permitting an orderly discharge of admitted liabilities while preventing immediate coercive recovery.Conclusion: The petitioner is granted four weeks' time to pay the admitted tax liabilities for AY 2017-2018, 2018-2019 and 2020-2021 and recovery proceedings in respect of those years are directed to be deferred until the said date; this disposition is in favour of the assessee.