Order Date – 29 July 2024 

Parties:  Tvl. Amaxing ADDS v. The State Tax Officer, Thanjavur-II, The Deputy Commissioner (ST) and 3.The Appellate Deputy Commissioner (ST)(GST), Trichy.

Facts –

• The Petitioner, Tvl. Amaxing ADDS, filed an appeal with a delay of 10 days along with 10% pre-deposit from the credit ledger.
• Despite this, the department recovered the entire amount from the petitioner’s bank account on 27.06.2024. The petitioner filed a writ challenging the department’s proceedings.

Issue –

• Whether recovery of the entire tax, interest, and penalty amount from a taxpayer’s bank account was valid when the appeal was filed within the condonable delay period?

Order –

• The Single Bench of Hon’ble High Court held that considering Section 128A as per Clause 142 to Finance (No.2) Bill, 2024, the Court is inclined to direct the respondents to refund the amount recovered from the petitioner's Bank Account on 27.06.2024 as prayed for as an appeal has been filed by the petitioner on 26.06.2024 before the Appellate Deputy Commissioner (ST)(GST), Trichy, within condonable period of limitation under Section 107 of the TNGST Act, 2017.
• Thus the respondent is directed to number the appeal and pass an order within a period of 15 days from the date of receipt of a copy of this order in the application filed by the petitioner for condoning the delay of ten days. In case the petitioner has made out sufficient cause for condoning the delay, the delay may be condoned.
• The Writ Petition is disposed of.