GST UPDATE ON CONDONATION ON DELAY IN FILING THE APPEAL

Section 107(1) of the CGST Act, 2017 says that any person aggrieved by any decision or order passed by adjudication officer under this act or the state goods and services tax act or the union territory goods and services tax act can file the appeal within the time limit of 3 months from the date of communication of the impugned order. Furthermore, the Appellate authority may condone a delay of up to one month, if he is satisfied that there was sufficient cause for such delay as per subsection (4) of above referred section ibid. However, in the view of the Covid 19 situation, the Supreme Court has also issued an order dated 23rd March 2020 declaring that the period from 15th March 2020 till further orders, shall not be taken into consideration for counting the period of limitation prescribed under any general or special laws. The Hon’ble Supreme Court has used the term ‘shall stand extended’ which means that in cases where the limitation period for filing an appeal expires on or after 15th March 2020, then in such cases, the due date for filing an appeal shall stand extended till further order/s of the Hon’ble Supreme Court. Central Government has also given relaxation to the taxpayers for various compliances under the GST laws. The Taxation and other Laws (Relaxation of Certain Provisions) Ordinance, 2020 came into effect on 31st March 2020. The Ordinance inserted Section 168A empowers the Central Government to extend the time limit specified/ prescribed under the CGST Act, 2017, in respect of actions which cannot be completed or complied due to Force Majeure. The explanation to Section 168A defines the term ‘Force Majeure’ and enlists several calamities including, ‘epidemic’, which can affect the implementation of any provision of the Act in to effect on 31st March 2020. The Central Government, exercising its power under Section 168A of the CGST Act, 2017, vide Notification No. 35/2020-CT dated 03.04.2020, granted general extension for compliance under the CGST Act, 2017, IGST Act, 2017 and UTGST CA. PRADEEP JAIN ??www.capradeepjain.com??pradeep@capradeepjain.com??6 Act, 2017. Extension were given to appeals which were due to be filed between 20th March, 2020 to 29th June, 2020, can be filed till June 30, 2020. Similarly, in view of second wave of COVID-19, appeal period was extended and appeal period expiring from April 15, 2021 to June 29, 2021 was extended to June 30, 2021 by notification number 14/2021- Central tax dated May 1, 2021. Now the controversy arose whether this notification extending the time limit only to June 30, 2021 is legally binding as they are going against the impugned Apex Court decision. Orissa HC also in case of M/s. Shree Udyog has passed order that GST Appellate Authority shall condone delay in Filing Appeal due to COVID-19 where the appellant failed to file certified copy of order appeal against within specified time limit due to the reason that representative was suffering from Covid -19. The court set aside the order of rejection of appeal on the grounds of delay and stands the appeal restored. In the cases where both Notification No. 35/2020-CT dated 03.04.2020 as well as notification number 14.2021- CT dated May 1, 2021 do not help person the order of Supreme Court can be of certain help as it provides that the limitation period with respect to any appeal/ application stands extended upto June 30, 2020 or June 30, 2021. Thus, the aggrieved person can argue that order of Supreme Court will prevail over any other law for the time being in force. Thus the assesses who are facing trouble in filing appeal due to current prevailing situation of pandemic take the advantage of relaxation by Supreme Court. This order has again been followed by Orissa High Court. Many appeals could not be filed due to this COVID pandemic, hence landmark decision of Highest Court of India is of great help to all the taxpayers. Moreover, no relaxations were given in second wave to service tax appeals though many show cause notices were decided and appeal is to be filed. But consultant could not file the same due to this unwarranted situation. Hence, these landmark judgments is of great help to taxpayers.

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GST UPDATE ON CONDONATION ON DELAY IN FILING THE APPEAL

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