2019 (11) TMI 659 - SC - GST

Maintainability of appeal - Compliance with the pre-deposit - non-prosecution of the case - HELD THAT - Issue notice on condition that the petitioner shall deposit Rs. 2, 00, 00, 000/- to the credit of C.No. IV/16/27/201HPU on the file of the Commissioner of GST Central Excise Salem Tamil Nadu and produce receipt in that behalf in the Registry of this Court within ten days from today failing which the special leave petition shall stand dismissed for non-prosecution without further reference to the Court. For a period of one week no coercive action be taken against the petitioner in connection with the alleged offence and the interim protection will continue upon production of receipt in the Registry about the deposit made with the Department within one week from today until the disposal of this Special Leave Petition. List the matter on 12.09.2019.

Summary

Issues involved:
1. Assessment completion status for the relevant period under the Central Goods and Services Tax Act, 2017.
2. Applicability of Section 132 of the Act.
3. Petitioner's right to appeal and deposit requirements.
4. Notice issuance and deposit conditions.
5. Protection against coercive action.

Analysis:
1. The judgment addresses the issue of assessment completion for the relevant period under the Central Goods and Services Tax Act, 2017. The petitioner's counsel highlights that the Department has not completed the assessment yet, indicating that invoking Section 132 of the Act is premature in this scenario.

2. The judgment discusses the applicability of Section 132 of the Central Goods and Services Tax Act, 2017. The petitioner's counsel argues that since the assessment is pending, there is no basis for invoking Section 132 at this stage.

3. The judgment delves into the petitioner's right to appeal and the deposit requirements associated with it. The counsel asserts that even if the alleged liability of Rs. 19 crores is accepted, the petitioner can file an appeal after the assessment order is passed, subject to depositing 10% of the disputed liability. The petitioner expresses willingness to deposit Rs. 2,00,00,000 within a week.

4. The judgment issues notice on the condition that the petitioner deposits Rs. 2,00,00,000 to the credit of the Commissioner of GST & Central Excise, Salem, Tamil Nadu, and produces the receipt in the Registry within ten days. Failure to comply will result in the dismissal of the special leave petition for non-prosecution.

5. The judgment provides protection against coercive action for one week, stating that no such action should be taken against the petitioner in connection with the alleged offense during this period. The interim protection continues upon the production of the receipt of deposit made with the Department within one week, until the disposal of the Special Leave Petition.