TaxTMI 
TaxTMI 
2026 (2) TMI 1389
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.... Authority rejected the Petitioner's Appeal by passing an Order-in-Appeal. 3. The Petitioner thereafter filed an Appeal before the GST Tribunal against the said Order-in-Appeal on 5th February 2026. In the interregnum, the Petitioner received intimations by e-mails dated 3rd February 2026 and 6th February 2026 raising a demand. Upon receipt of such intimations, the Petitioner informed Respondent No. 3 that the demand amount has been deposited and adjusted through Form GST DRC-03A, and that an Appeal against the Order-in-Appeal is pending before the Tribunal. 4. It is the petitioner's contention that notwithstanding the above position, a Recovery Notice dated 6th February 2026 has been issued to the Petitioner and steps are sought to be taken to implement the same. It is in these circumstances, the present Petition has been filed contending that although the petitioner's appeal is pending before the Tribunal, coercive recovery proceedings ought not to be continued. The Petition, therefore, seeks the following substantive reliefs: a) Your Lordships be pleased to issue a Writ of Certiorari any other appropriate writ, order or direction under Article 226/ 227 of the Cons....
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....ribunal shall not, while disposing of any proceedings before it or an appeal before it, be bound by the procedure laid down in the Code of Civil Procedure, 1908, but shall be guided by the principles of natural justice and subject to the other provisions of this Act and the rules made thereunder, the Appellate Tribunal shall have power to regulate its own procedure. (2) The Appellate Tribunal shall, for the purposes of discharging its functions under this Act, have the same powers as are vested in a civil court under the Code of Civil Procedure, 1908 while trying a suit in respect of the following matters, namely:- (a) summoning and enforcing the attendance of any person and examining him on oath; (b) requiring the discovery and production of documents; (c) receiving evidence on affidavits; (d) subject to the provisions of sections 123 and 124 of the Indian Evidence Act, 1872, requisitioning any public record or document or a copy of such record or document from any office; (e) issuing commissions for the examination of witnesses or documents; (f) dismissing a representation for default or deciding it ex-parte; ....
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....ing himself as to the legality or propriety of the said order and may, by order, direct any officer subordinate to him to apply to the Appellate Tribunal within six months from the date on which the said order has been passed; or the date, as may be notified by the Government, on the recommendations of the Council, for the purpose of filing application before the Appellate Tribunal under this Act, whichever is later, for determination of such points arising out of the said order as may be specified by the Commissioner in his order. (4) Where in pursuance of an order under sub-section (3) the authorised officer makes an application to the Appellate Tribunal, such application shall be dealt with by the Appellate Tribunal as if it were an appeal made against the order under sub-section (11) of section 107 or under sub-section (1) of section 108 and the provisions of this Act shall apply to such application, as they apply in relation to appeals filed under sub-section (1). (5) On receipt of notice that an appeal has been preferred under this section, the party against whom the appeal has been preferred may, notwithstanding that he may not have appealed against such or....
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....an opportunity of being heard, pass such orders thereon a sit thinks fit, confirming, modifying or annulling the decision or order appealed against or may refer the case back to the Appellate Authority, or the Revisional Authority or to the original adjudicating authority, with such directions as it may think fit, for a fresh adjudication or decision after taking additional evidence, if necessary. (2) The Appellate Tribunal may, if sufficient cause is shown, at any stage of hearing of an appeal, grant time to the parties or any of them and adjourn the hearing of the appeal for reasons to be recorded in writing: Provided that no such adjournment shall be granted more than three times to a party during hearing of the appeal. (3) The Appellate Tribunal may amend any order passed by it under sub-section (1) so as to rectify any error apparent on the face of the record, if such error is noticed by it on its own accord, or is brought to its notice by the Commissioner or the Commissioner of State tax or the Commissioner of the Union territory tax or the other party to the appeal within a period of three months from the date of the order: Provided that no amendme....
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....rposes. 9. We now advert to the most relevant provision i.e., Section 113, which deals with the orders to be passed by the Appellate Tribunal. Sub-section (1) of Section 113 provides that the Appellate Tribunal may, after giving the parties to the Appeal an opportunity of being heard, pass such orders thereon as it thinks fit, confirming, modifying or annulling the decision or order appealed against, or may refer the case back to the Appellate Authority, the Revisional Authority or the original Adjudicating Authority with such directions as it may think fit for a fresh adjudication or decision, including after taking additional evidence, if necessary. Sub-section (2) of Section 113 provides that the Appellate Tribunal may, if sufficient cause is shown at any stage of the hearing of an Appeal, grant time to the parties and adjourn the hearing of the Appeal for reasons to be recorded in writing. 10. Considering the nature of the powers conferred under sub-section (1) of Section 113 to pass such orders "as it thinks fit", in our opinion, it cannot be inferred, that although the Tribunal is vested with the jurisdiction to pass substantive final orders on the Appeal to confirm, mo....
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....imit or otherwise affect the inherent powers of the Appellate Tribunal to make such orders or give such directions as may be necessary for meeting the ends of justice or to prevent abuse of the process of the Appellate Tribunal. 29. Interlocutory applications. - Every interlocutory application for stay, direction, rectification in order, condonation of delay, early hearing, exemption from production of copy of order appealed against or extension of time prayed for in pending matters shall include all the information as per the prescribed GSTAT FORM-01 and the requirements prescribed in that behalf shall be complied with by the applicant, besides filing an affidavit supporting the application." 49. Procedure for filing of and disposal of interlocutory application. - The provisions of the rules regarding the filing of interlocutory applications shall, in so far as may be, apply mutatis mutandis to the filing of applications under this rule. 59. Registers to be maintained. -The following Registers shall be maintained online/offline and posted on a day-to-day basis by such ministerial officer or officer of the Registry may, subject to any order of the Preside....
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....osal of the appeal by the Tribunal. It may also be that as a matter of practice prevailing in the department the Commissioner or the Inspecting Assistant Commissioner in exercise of administrative powers ers can give the necessary relief of staying recovery to the assessee but that can hardly be put at par with a statutory power as is contained in Section 220(6) which is confined only to the stage of pendency of an appeal before the Appellate Assistant Commissioner. The argument advanced on behalf of the appellant before us that in the absence of any express provisions in Sections 254 and 255 of the Act relating to stay of recovery during the pendency of an appeal it must be held that no such power can be exercised by the Tribunal, suffers from a fundamental infirmity inasmuch as it assumes and proceeds on the premise that the statute confers such a power on the Income Tax Officer who can give the necessary relief to an assessee. The right of appeal is a substantive right and the questions of fact and law are at large and are open to review by the Appellate Tribunal. Indeed the Tribunal has been given very wide powers under Section 254(1) for it may pass such orders as it thinks fi....