Pazhayidom Food Ventures (P) Ltd. v. Superintendent Commercial Taxes
[Citation -2020-LL-0724-61]

Citation 2020-LL-0724-61
Appellant Name Pazhayidom Food Ventures (P) Ltd.
Respondent Name Superintendent Commercial Taxes
Relevant Act CGST
Date of Order 24/07/2020
Assessment Year 2018-19
Judgment View Judgment
Keyword Tags lump sum payment • belated return • tax liability • unpaid tax • tax due

IN HIGH COURT OF KERALA AT ERNAKULAM PRESENT HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR FRIDAY, 24TH DAY OF JULY 2020 / 2ND SRAVANA, 1942 WP(C).No.14275 OF 2020(H) PETITIONER: PAZHAYIDOM FOOD VENTURES (P) LTD. 3/402, VADAKKEDATHU BUILDING, KURICHITHANAM P.O., UZHAVOOR-686 634, REPRESENTED BY ITS DIRECTOR SATHEESH MOHAN. BY ADV. SRI.PREMJIT NAGENDRAN RESPONDENTS: SUPERINTENDENT COMMERCIAL TAXES (CGST) I CIRCLE, 3RD FLOOR, MARRENA TOWERS, KATTAKKAYAM ROAD, PALA-686 575. BY ADV.SRI.SREELAL N WARRIER THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.07.2020, COURT ON SAME DAY DELIVERED FOLLOWING: W.P.(C).No.14275 of 2020 2 JUDGMENT petitioner is private limited company registered as service provider under Goods and Service Tax Act. In Writ Petition it is case of petitioner that while he intends to pay arrears of tax due for assessment year 2018-2019 (November 2018 to March 2019), without contesting same, respondents have expressed their inability to permit him to pay arrears of tax in instalments. It is further contention of petitioner that on account of present Covid pandemic situation, he is not in position to generate funds necessary for making lump sum payment of admitted tax for said period, and it is therefore that he seeks direction from this Court to permit petitioner to file returns without paying entire admitted tax, but ensuring that payment of admitted tax, together with interest thereon and applicable late fees etc, is made on or before 31st March 2021. 2. learned Standing counsel for respondents would point out that provisions of Act do not provide for payment of admitted amount shown in return in instalments, and hence relief sought for by petitioner cannot be granted in view of express provisions of statute. W.P.(C).No.14275 of 2020 3 2. I have heard learned counsel for petitioner and learned Standing counsel for respondents. On consideration of facts and circumstances of case and submissions made across Bar, I note that petitioner, who is assessee under GST Act, is not disputing his liability to tax, or quantum thereof, for period in question. It only seeks instalment facility to pay admitted tax, together with interest thereon, in view of financial difficulties faced by it during Covid pandemic situation, when its business has come to total standstill. I also note that during pendency of this Writ Petition, petitioner has established its bonafides by effecting payment of Rs.4 lakhs towards tax liability for period 2018-2019. It is also relevant to note that, as of today, there is no demand against petitioner for unpaid tax amount. Under circumstances, since petitioner is not disputing his liability, and wishes to put quietus to matter, I deem it appropriate to direct respondent to accept belated return filed by petitioner for period November 2018 to March 2019, without insisting on payment of admitted tax declared therein. respondents shall adjust amount of Rs. 4 Lakhs paid by petitioner during pendency of this writ petition, towards admitted tax W.P.(C).No.14275 of 2020 4 liability, and thereafter permit him to discharge balance tax liability, inclusive of any interest and late fee thereon, in equal successive monthly instalments commencing from 25th August 2020 and culminating on 25th March, 2021. It is made clear that if petitioner defaults in any single instalment, he will lose benefit of this judgment and it will be open to respondent to proceed with recovery proceedings for realisation of unpaid tax, interest and other amounts. Writ Petition is disposed as above. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE mns/24.7.2020 W.P.(C).No.14275 of 2020 5 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF JUDGMENT OF THIS COURT IN WP(C) 5665 OF 2020 DATED 8/6/20. EXHIBIT P2 TRUE COPY OF HEARING NOTE FILED BY PETITIONER BEFORE RESPONDNET DTED 30/6/20. EXHIBIT P3 TRUE COPY OF PROCEEDINGS NOTE PREPARED BY RESPONDENT DATED 30/6/20. RESPONDENTS EXHIBITS:NIL //TRUE COPY// P.A TO JUDGE Pazhayidom Food Ventures (P) Ltd. v. Superintendent Commercial Taxe
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