📰 𝗣𝗮𝘁𝗻𝗮 𝗛𝗶𝗴𝗵 𝗖𝗼𝘂𝗿𝘁 𝗥𝘂𝗹𝗶𝗻𝗴: 𝗣𝗲𝘁𝗶𝘁𝗶𝗼𝗻𝗲𝗿 𝗚𝗿𝗮𝗻𝘁𝗲𝗱 𝗦𝘁𝗮𝘆 𝗼𝗻 𝗧𝗮𝘅 𝗥𝗲𝗰𝗼𝘃𝗲𝗿𝘆 𝗗𝘂𝗲 𝘁𝗼 𝗨𝗻𝗰𝗼𝗻𝘀𝘁𝗶𝘁𝘂𝘁𝗲𝗱 𝗧𝗿𝗶𝗯𝘂𝗻𝗮𝗹

📢 The court stated, "The petitioner may secure a stay on tax recovery by depositing an additional 20% of the disputed tax amount due to the absence of a functional Appellate Tribunal."

🔍 𝗙𝗮𝗰𝘁𝘀: • 𝗖𝗮𝘀𝗲 𝗧𝗶𝘁𝗹𝗲: Pragati Enterprises v. Union of India & The State of Bihar • 𝗖𝗮𝘀𝗲 𝗡𝘂𝗺𝗯𝗲𝗿: Civil Writ Jurisdiction Case No. 8165 of 2023 • 𝗖𝗼𝘂𝗿𝘁: Patna High Court • 𝗗𝗮𝘁𝗲: 19-Jun-2023

𝗜𝘀𝘀𝘂𝗲: Pragati Enterprises faced a procedural obstacle in appealing a tax order, as the Appellate Tribunal under the Bihar Goods and Services Tax Act (B.G.S.T. Act) had not yet been constituted. This situation prevented the petitioner from obtaining the statutory stay on the tax recovery provided under Section 112 (8) & (9) of the B.G.S.T. Act.

𝗖𝗼𝘂𝗿𝘁'𝘀 𝗦𝗼𝗹𝘂𝘁𝗶𝗼𝗻: To address this gap, the court allowed Pragati Enterprises to deposit an additional 20% of the remaining disputed tax amount to receive a stay on recovery until the Tribunal becomes functional.

⚖ 𝗝𝘂𝗱𝗴𝗺𝗲𝗻𝘁: The court mandated that once the Appellate Tribunal is constituted, Pragati Enterprises must file an appeal under Section 112 of the B.G.S.T. Act. If they fail to do so within a specified timeframe, the authorities may proceed with recovery actions in accordance with the law.

📜 This ruling acknowledges the taxpayer's right to a fair appeal process and provides interim relief in the absence of an operational Tribunal. The judgment ensures that procedural delays in tax law implementation do not unfairly impact taxpayers while reinforcing the judiciary’s role in balancing legal obligations with operational practicalities. Team GSTpanacea 7503031378