The writ petitions disposed of by imposing interest on Net Tax Liability.
Section 50 of the CGST Act — Interest –- The petitioner challenged the common appellate order dated 20th March, 2020 relating to different periods from April, 2018 to January, 2019, whereby the appeal filed by the petitioner against the adjudication order levying interest under Section 50 on Gross Tax Liability has been dismissed. The Petitioner has discharged its interest liability on net tax liability. The petitioner counsel referred to the communication dated 18th September, 2020 issued by the CBIC on the subject recovery of interest on net tax liability with effect from 1st July, 2017. The court observed that the Respondent by way of supplementary counter affidavit has made a categorical statement that after issuance of the above Administrative Instructions by CBIC, the State authorities are also imposing interest on Net Tax Liability. There is no purpose in keeping the writ petitions pending for decision.
Held that:- The Hon’ble High Court accordingly disposed the writ petitions.
The writ petitions disposed of by imposing interest on Net Tax Liability.
Section 50 of the CGST Act — Interest –- The petitioner challenged the common appellate order dated 20th March, 2020 relating to different periods from April, 2018 to January, 2019, whereby the appeal filed by the petitioner against the adjudication order levying interest under Section 50 on Gross Tax Liability has been dismissed. The Petitioner has discharged its interest liability on net tax liability. The petitioner counsel referred to the communication dated 18th September, 2020 issued by the CBIC on the subject recovery of interest on net tax liability with effect from 1st July, 2017. The court observed that the Respondent by way of supplementary counter affidavit has made a categorical statement that after issuance of the above Administrative Instructions by CBIC, the State authorities are also imposing interest on Net Tax Liability. There is no purpose in keeping the writ petitions pending for decision.
Held that:- The Hon’ble High Court accordingly disposed the writ petitions.