LI Network
Published on: November 02, 2023 at 00:15 IST
The Gujarat High Court has taken a significant step by staying the recovery of dues based on the argument that, although the GST Appellate Tribunal has been constituted, it remains non-functional.
The bench, presided over by Justice Biren Vaishnav and Justice Mauna M. Bhatt, noted the discrepancy between the existence of the constituted Tribunal and its non-functionality.
Competent authorities proceeded to issue orders of recovery, demanding information from the assessees regarding the filing of appeals. This raised questions regarding the actions of the authorities in this matter.
The petitioner has challenged the order issued by the Appellate Authority under the Central Goods and Services Tax (CGST).
In the absence of a functional tribunal, the challenge to the order has been made through a petition. The Superintendent of AR-V, Division-VI, initiated the penalties’ recovery following the said order.
The order indicated that the author of the order suggested that the petitioner should notify the authority about the filing of any appeal or stay application against the Order-In-Appeal (OIA) dated July 31, 2023, and whether the Appellate Authority had granted a stay on the order.
According to the authority, if no stay had been granted for the recovery of dues, the petitioner was required to pay the outstanding dues.
Recognizing the non-functionality of the tribunal, the court issued a notice and stayed the order that initiated the recovery process until the next date of the hearing.
