Andhra Pradesh High Court - Amravati
Kuruva Nagaraju vs The Superintendent on 16 October, 2020
Bench: C.Praveen Kumar, J. Uma Devi
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (SPECIAL ORIGINAL JURISIDICTION) FRIDAY , THE SIXTEENTH DAY OF OCTOBER TWO THOUSAND AND TWENTY OPE :PRESENT: ha THE HONOURABLE SRI JUSTICE C.PRAVEEN KUMAR: A _ THE HONOURABLE Ms. JUSTICE J. UMA DEVI . WRIT PETITION NO: 17251 OF 2020 Between: Kuruva Nagaraju, Proprietor of M/sK.Nagaraju Cotton Traders, 37 AFWP6286LIZA,17/104/, C/o Veerabhadra Gowd Ginning Factory, Agricultural Marketing committee road Adoni, Kurnool District, State of Andhra Pradesh, Petitioner AND 1. The Superintendent, Office of the Superintendent of Central Tax, Central GST Range, Adoni Range, D.No.21/57, 3rd Road, SKD Colony, Adoni, Kurnool District. State of Andhra Pradesh. 2. The Commissioner of Central Tax, Tirupati CGST Commissionerate, Office of the Commissioner of Central tax, Tirupati CGST Commissionerate, 9/86A, Amaravathi Nagar, West church Compound, Tirupati 3. M/s Laxmi Vilas Bank, 12/510, Municipal main road, Adoni 4. nee union of India, Rep by its Secretary of Government, Finance Department, ew Delhi Respondents Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue Writ of Mandamus or any other appropriate Writ or Order or Direction declaring (a) ~ the action of the respondent in passing Interest Proceedings, dated 17.02.2020 under Section 50 of the Central Goods and Service Tax Act 2017, served on the petitioner on 28.02.2020, levying interest of Rs.10,86,359/- on delayed payment of GST (including interest on input tax credit utilized), for the tax period July, 2017 to December, 2019, without serving a notice, without proving an opportunity of personal hearing,as illegal, arbitrary, contrary to the proviso to Section 50 of the GST Act 2017 and the same is in violation of principles of natural justice and consequently set aside the Orders of the 1st respondent Nagarajn in levying Interest vide Proceedings dated 17.02.2020 for the tax period July, 2017 to December, 2019 and Assessment Proceedings, dated 11.03.2019 for the tax period July, 2018 to September, 2018 and December, 2018 (b)declare that the action of the 2nd respondent in issuing a Garnishee Notice in Form GST DRC-22, dated -05-2020 to 3% respondent Bank, attaching the Bank Account of the petitioner, without serving a copy of the same to the petitioner, as illegal, arbitrary, contrary to the provisions of the Goods and Service Tax Act 2017 and the same is in violation of principles of natural justice and consequently direct the 2nd respondent to revoke the Garnishee Notice in Form GST DRC-22 forthwith (c)declare the GSTR-3B prescribed under Rule 61(5) of the Rules is not a return prescribed under Section 39(1) of the CGST Act 2017 and consequently declare that the levy of Interest under Section 50 cannot be applied in the context of filing GSTR-3B (d)declare that the summary levy and demand of interest under Section 50 of the CGST Act 2017 which is not preceded by an adjudication as per Section 73 of the CGST Act 2017 determining the principal amount payable is illegal and contrary to the scheme of the CGST Act, 2017 and principles of natural justice. 1A NO: 1 OF 2020 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to grant stay of all further proceedings, pursuant to the Interest Proceedings of the 1s respondent, dated 17.02.2020 including Garnishee Notice issued to 3rd respondent Bank in attaching the Bank Account of the petitioner, in Form GST DRC022, dated - 05.2020, for the tax periods July, 2017 to December, 2019 under Goods and Service Tax Act 2017, pending disposal of WP 17251 of 2020, on the file of the High Court. The petition coming on for hearing, upon perusing the Petition and the affidavit filed in support thereof and upon hearing the arguments of Sri Shaik Jeelani Basha Advocate for the Petitioner, Sri N. Harinath, Asst Solicitor General for the Respondents the Court made the following. ORDER
Learned Standing Counsel seeks time to file counter. Post on 02.11.2020 finally. Meanwhile, learned Standing Counsel shall upload the counter. Till such time, no coercive steps shall be taken. - & Sd/- V. DIWAKAR A. ASSISTANT REGIST R JITRUE COPY!/ Ber For ASSISTANT GISTRAR To
4. The Superintendent, Office of the Superintendent of Central Tax, Central GST Range, Adoni Range, D.No.21/57, 3rd Road, SKD Colony, Adoni, Kurnool District. State of Andhra Pradesh. The Commissioner of Central Tax, Tirupati CGST Commissionerate, Office of the Commissioner of Central tax, Tirupati CGST Commissionerate, 9/86A, Amaravathi Nagar, West church Compound, Tirupati M/s Laxmi Vilas Bank, 42/510, Municipal Main Road, Adoni The Secretary, Finance Department, Union of India, New Delhi (1 to 4 BY RPAD) .
One CC to Sri Shaik Jeelani Basha, Advocate [OPUC] Suc to Sri N. Harinath, Asst Solicitor General, High Court of A.P at Amaravati One spare copy N N on PL TVR HIGH COURT CPKJ & JUDJ DATED:16/10/2020 ORDER WP.No.17251 of 2020 POST ON 02.11.2020