2026 (2) TMI 655 - HC - GST

Condonation of delay in filing GST appeal after participation does not excuse unexplained eight month inaction; appeal barred.

Petition challenges refusal to condone an eight-month delay in filing an appeal against an assessment imposing interest and penalty. The HC held that ... Condonation of delay - liberty to file appeal - challenge to assessment order - duty of an assessee to monitor the GST web portal - interest and penalty imposed in assessment - HELD THAT:- As rightly contended by the respondent, having filed the reply and participated in the personal hearing, now, it is not proper for the petitioner to make a plea that he is not aware of the uploading of assessment order and hence, the reason assigned for delay in filing the appeal is not acceptable. Normally, after participating in the proceedings, it is the duty of an Assessee to verify the GST web portal for subsequent development in the said proceedings. However, in this case, though the assessment order was passed as early as on 18.06.2025, no steps were taken by the petitioner to challenge the assessment order for a period of 8 months. Now, the petitioner had filed this petition by taking a stand that he is not aware of the uploading of assessment order and also he is seeking for liberty to file an appeal against the said order. As stated above, the reason assigned by the petitioner for delay in challenging the assessment order is not acceptable. Further, this Court does not find any force in the submission made by the petitioner and hence, not in a position to grant liberty as requested by him. This Court is inclined to dismiss the present petition as devoid of merits. Issues: Whether the Court should condone the delay and grant liberty to the petitioner to file an appeal against the assessment order dated 18.06.2025 challenging interest and penalty imposed.Analysis: The petitioner had filed a reply to the show cause notice (DRC-01 dated 12.09.2024) and participated in the personal hearing before the assessing authority. The assessment order was passed on 18.06.2025 and the disputed tax amount was thereafter recovered. The petitioner says he remained unaware of the assessment order due to negligence of his consultant and therefore seeks condonation of an eight-month delay in filing an appeal. The respondent contests the plea, relying on the fact that the petitioner had actively participated in proceedings and therefore had a duty to monitor subsequent developments on the GST web portal. The Court examined the record and found no satisfactory explanation for the long inaction; it emphasized the assessee's responsibility to verify the departmental portal and that participation in proceedings coupled with failure to take steps for eight months without adequate cause does not justify condonation of delay.Conclusion: The petitioner's request for condonation of delay and for liberty to file an appeal is rejected; the petition is dismissed as devoid of merits.Ratio Decidendi: Where an assessee has participated in adjudicatory proceedings, an unexplained or inadequately explained prolonged delay in challenging the consequent assessment (including an eight-month inaction) and failure to verify departmental communications on the statutory portal do not ordinarily justify condonation of delay for filing an appeal.