The Orissa High Court’s Cuttack bench ordered the petitioner to pay the whole tax demand before filing a second appeal. Biswal Sales, the petitioner, filed a writ petition contesting the first appellate ruling issued by the Joint Commissioner of State Tax (Appeal) through which the authority refused to allow the petitioner’s appeal.
N.K. Dash, the petitioner’s attorney, maintained that the petitioner was not obligated to pay the tax and GST penalty and, as such, appealed against the first appellate authority’s ruling, despite the fact that the second appeal was pending and the second appellate tribunal had not yet been formed.
Also, the petitioner stated that he had previously deposited 10% of the necessary tax amount with the first appeal authority and that because there was no second appellate forum, this Court should hear the petitioner’s writ petition.
The counsel for the department Sunil Mishra argued the case would stand on a distinct ground and the applicant was obligated to file the tax and the applicant wishes for claiming the remedy via choosing to appeal to the second appellate tribunal the applicant was obligated to file 20% balance disputed tax for the consideration of its petition through the second appellate tribunal.
The Court noted that an interim measure subject to the petitioner submitting the whole tax demand was required since the petitioner sought to use the legal remedy provided by addressing the second appellate tribunal, which had not yet been established.
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The two-member bench consisting of B.R Sarangi and M.S Raman stated that the applicant would be required to pay the whole demand of tax prior to claiming the second appellate tribunal.
| Case Title | M/s. Biswal Sales Vs. The Commissioner of CT & GST |
| Citation | I.A. No. 9413 of 2023 |
| Date | 05.07.2023 |
| Orissa High Court | Read Order |
