GST: Business Man Suffering financial crunch due to Non-Refund of GST Writes to High Court

Writ petition filed under Article 226 of the Constitution of India to issue a Writ of Mandamus, directing the 2nd respondent to reimburse the CGST and SGST (Rs.36,10,385/- + 36,10,385/- respectively) total amount of Rs.72,20,770/- paid by the petitioner for and on behalf of the 2nd respondent with interest at 18% rate of interest from the respective bills passed date as indicated in the chart filed in the typed set till date of payment within a time to be stipulated by this Hon’ble Court by considering the representation dated 07.11.2022 made by the petitioner.

Mr. S.Ravikumar, learned Special Government Pleader accepts notice for first respondent. Mr. B.Anand, learned counsel accepts notice for second respondent. Mr. T.N.C.Kaushik, learned Additional Government Pleader (Tax) accepts notice for third respondent. Mr. Rajnish Pathiyil, learned Senior Panel Counsel for Customs and Indirect Tax accepts notice for fourth respondent.

As of now, owing to the abridged prayer, the issue is only as between the writ petitioner and second respondent namely, the employer and the contractor qua tenders and agreements.

As already alluded to supra, it is not necessary to delve into facts and it will suffice to say that it is a case of the contractor/ writ petitioner that tenders were prior to 01.07.2017 before the GST regime kicked in and therefore, GST incurred by the contractor has to be absorbed by the contractor.

Aforementioned representation dated 07.11.2022 as placed before this Court is as follows:

In the light of the abridged prayer, captioned Writ Petition is disposed of with a simple directive to the second respondent to dispose of the aforementioned representation of writ petitioner dated 07.11.2022 on its own merits and in accordance with law as expeditiously as the official business of the second respondent would permit and in any event, within a fortnight from today i.e., by 27.12.2022. The disposal proceedings of the second respondent shall be communicated to the writ petitioner under due acknowledgment within three working days therefrom.

Though obvious, it is made clear that there is no expression of view or opinion in this order and the second respondent shall dispose of the aforementioned representation on its own merits and in accordance with the law. Captioned Writ Petition disposed of with the aforesaid directive. There shall be no order as to costs.

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