The Delhi High Court declined to examine a challenge to the levy of 18% Goods and Services Tax (GST) on diagnostic services provided by a private laboratory, observing that the matter falls within the jurisdiction of the Authority for Advance Ruling (AAR) under the GST Act, 2017.
A division bench of Justices Anil Kshetrapal and Amit Mahajan disposed of the company’s two writ petitions after being notified that the vacancy in the Delhi Authority for Advance Ruling (AAR) had been filled, which restores the quorum needed for adjudication.
The applicant had contested a communication issued via the Delhi government that imposes an 18% GST on its diagnostic services. The applicant had asked for directions to the AAR to determine its applications u/s 97.
Earlier, the court was notified that the applications of the applicant before the AAR remained pending because of the quorum’s non-availability. After that, the Court asked the registry to take guidelines from the Additional Solicitor General concerning the filling up of the vacancy.
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Yesterday, when the case was taken up, the counsel for the Centre notified the court that an order appointing the member representing the Union Government to the Authority for Advance Ruling shall be issued during the day, thereby completing the quorum.
The bench has recorded the submission and said that it is improper to adjudicate upon the controversy in the exercise of its writ jurisdiction at this phase.
“The principal controversy between the parties pertains to the taxability of the diagnostic services rendered by the Petitioner and, more particularly, whether such services are exigible to GST or are entitled to exemption under the provisions of the CGST Act and the notifications issued thereunder,” the Court stated.
The Court has referred to the statutory scheme under Chapter XVII of the GST Act and mentioned that Parliament had made a specialised adjudicatory procedure for deciding problems concerned with the classification of goods and services, applicability of exemption notifications and obligation to pay tax.
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It also said that, “Ordinarily, therefore, where the legislature has created such a specialised forum and the aggrieved party has already invoked its jurisdiction, this Court would be slow in undertaking an adjudication upon the very same issues in exercise of its writ jurisdiction under Article 226 of the Constitution of India.”
It then mentioned that, after filing the vacancy, no justifiable reason was there for the HC to consider the dispute.
In this way, the court disposed of the writ petitions and asked the Authority for Advance Ruling (AAR) to consider the applications of the applicant independently.
Before signing the order, the court was notified that Vivek Gupta, Additional Commissioner (Legal), CGST, Delhi North Commissionerate, had been appointed as a member of the Delhi Authority for Advance Ruling, thereby filling the vacancy.
| Case Title | Hemogenomics Private Limited vs. Government of NCT of Delhi |
| Case No. | W.P.(C) 1973/2026, CM APPL. 9648/2026, CM APPL. 9649/2026, CM APPL. 20886/2026 |
| For Petitioner | Sandeep Chilana, Priyojeet Chatterjee and Devansh Garg |
| For Respondent | Urvi Mohan and Sumit Kumar, Farman Ali, Amit Gupta and Usha |
| Delhi High Court | Read Order |
