4. 2017-TIOL-1679-HC-DEL-MISC – Kundan Care
Products Ltd. & various others vs. Union of India & Anr.
Facts
Various petitioners challenged Notification
No.22/2012-CGST dated 17/08/2017 which inserted Rule 44A in CGST Rules, 2017
requiring reversal of 5/6th of CENVAT credit which had accrued on
account of payment of additional duty of customs made at the time of gold dore
bar import. The said CVD was allowed by
way of transitional measure u/s. 140 of CGST Act, 2017. Considering the move of
the Government discretionary and unreasonable, writs were filed by various affected
parties.
Held
Considering a prima facie case and
balance of convenience in favour of petitioners, the Hon. High Court granted
interim relief. Further, the Court directed the revenue to refrain from taking
any coercive steps to recover credit already availed by petitioners.
[Also in 2017-TIOL-11-HC-MAD-GST – Salsar
Synthetics MD Overseas Ltd. vs. UOI & ANR on the same ground, the Hon.
Madras High Court provided interim relief and direction for refrainment from
coercive action for recovery].
5. 2017-TIOL-22-HC-DEL-GST
– Jindal Dyechem Industries (P) Ltd. vs. UOI & ORS
Facts
Even post press release dated 06/10/2017
issued by the finance ministry for exporters after the 22nd Meeting
of GST Council, the petitioner was not permitted to clear gold bars without
payment of IGST of over 58 lakh rupees in respect of Bill of Entry dated
October 10, 2017.
Held
The Court directed petitioner to place the
facts on an affidavit to be filed within 3 days and as an interim measure
directed that in view of the said press release, which prima facie makes
no distinction between an Advance Authorization (AA) issued prior to or after
July 01, 2017, the petitioner would not be required to pay IGST in respect of
gold bars made by it in terms of AAs issued to it. This was granted subject to
the petitioner furnishing letter of undertaking to the authorities that
clearance of the imported goods in terms of AA will be subject to final results
in this petition.
[Note: Subsequent to the above,
Notification No.48/2017-Central Tax dated 18/10/2017 was issued by the
Government].
6.
[2017] 86 taxmann.com 183 (Rajasthan) – Rajasthan Tax Consultants
Association vs. UOI
Facts
A writ petition was filed before the Hon’ble
High Court as applicants could not apply for “composition scheme” u/s. 10 of
CGST Act, 2017 before 16/08/2017 i.e. stipulated due date because the GST
portal/system was not working.
Held
The High Court directed department to accept
the “applications for composition scheme” from those who could not apply upto
16/8/2017 to be effective from 01/07/2017 as composition scheme was extended
upto 30/09/2017. The High Court also directed that when applicant tries to
log-in to system, but the system/GST portal does not respond, applicant would
inform the concerned District Information Officer immediately by email and he
should resolve problems expeditiously.
7. 2017-TIOL-1969-HC-KAR-MISC – M/s. MJS
Enterprises
Facts
Various petitioners, mainly auction
purchasers of the scrap/bidders approached the Karnataka High Court to provide
direction in the nature of writ on an issue of whether sale of scrap buses
would attract GST rate of 28% or the rate of 18% applicable to ferrous waste
and scrap, re-melting scrap ingots of iron or steel. The question emerged
because the Respondent KSRTC had issued tender notice of auction of old and
junk buses wherein applicable rate of 28% was notified.
The prayer was made to the Court that since
the buses were not pliable on the road as normal buses and they would be
auctioned only after obtaining certificate from concerned RTO authorities to
the effect that the buses cannot be plied on road and they can only be
scrapped. In view therefore, they cannot attract 28% rate and hence, the Court
may interfere and direct the Respondent KSRTC to collect the GST at only 18%
under Schedule III heading No.7204.
Held
The Court found the petitions premature and
misconceived to deal with an academic question at the stage of initial tender
process and therefore, refusing to invoke writ jurisdiction, it dismissed all
the petitions. _
