GST appeal delay may be condoned where circumstances beyond control justify restoration and merits hearing

Where a GST appeal is delayed because of circumstances beyond the litigant's control, writ relief may be used to condone the delay and require the appellate authority to hear the appeal on merits despite the limitation framework under Section 107. The note also records that a constitutional challenge to the vires of Section 107(4) of the CGST Act, 2017 read with Notification No. 53/2023 was expressly not pressed and remained open for future proceedings. The stated rationale is that refusal to restore the appellate remedy in such circumstances would cause grave prejudice.

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Issues: Whether the delay in filing the GST appeal was liable to be condoned and the appellate authority could be directed to entertain the appeal on merits despite the statutory limitation.

Analysis: The statutory scheme under Section 107 of the GST enactment prescribes a limitation period for filing appeal with a further condonable period. On the facts placed before the Court, the failure to file the appeal within time was attributed to circumstances stated to be beyond the petitioner's control. In view of the consistent approach adopted in earlier decisions of the same Court in similar matters, the Court found that denying consideration of the appeal on merits would result in grave prejudice. The challenge to the vires of Section 107(4) of the CGST Act, 2017 read with Notification No. 53/2023 dated 02.11.2023 was expressly not pressed and was left open.

Conclusion: The delay in filing the appeal was condoned and the appellate authority was directed to entertain and decide the appeal on merits. The vires issue was not adjudicated and was kept open.

Final Conclusion: The petitioner obtained the substantive relief of restoration of the appellate remedy, while the constitutional challenge remained undecided for future proceedings.

Ratio Decidendi: Where the delay in filing a GST appeal is shown to have arisen from circumstances beyond the litigant's control, writ relief may be granted to condone the delay and require adjudication of the appeal on merits notwithstanding the statutory limitation framework.

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