Writ jurisdiction and service-tax exemption claim: High Court directed recourse to appellate remedy and condoned delay on costs.

A writ challenge to a service-tax adjudication order centred on whether works executed for the Government qualified for exemption under Notification No. 25/2012-ST and whether the order had meaningfully addressed that claim. The High Court declined direct interference in writ jurisdiction, noting the petitioner's delay in following up after the show cause reply and failure to update the department with the changed address. It held that the exemption issue should be examined by the statutory appellate forum and permitted the petitioner to pursue that remedy by condoning delay on payment of costs, with the appeal to be decided in accordance with law.

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Issues: Whether the writ petition should be entertained on the ground that the adjudication order did not adequately consider the claimed service-tax exemption and whether the petitioner should be permitted to pursue the appellate remedy by condoning delay.

Analysis: The relief sought rested on the contention that the works executed for the Government fell within the exemption under Notification No.25/2012-ST dated 20.06.2012 and that the adjudication order did not deal with that claim in a meaningful manner. At the same time, the petitioner had not promptly followed up the proceedings after replying to the show cause notice and had not updated the department with the changed address, which explained why the Court was not persuaded to grant direct substantive interference in writ jurisdiction. The Court held that the exemption claim required consideration by the statutory appellate forum and that the petitioner should be afforded an opportunity to pursue that remedy.

Conclusion: The writ petition was not entertained on merits and the petitioner was allowed to file an appeal with delay condoned on payment of costs, with the appellate authority directed to decide the matter in accordance with law.

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