Order Date – 08 February 2024

Parties: M/s Bharati Enterprises Vs Commissioner, Value Added Tax, Department of Trade and Taxes & Ors.

Facts –

• The Petitioner, M/s Bharati Enterprises, had filed application on 12.04.2022, seeking refund of the ITC relating to tax periods July 2020 to December 2020.
• A Show Cause Notice dated 23.05.2022 was issued proposing to reject the aforesaid application on the ground that the same was filed belatedly. Apparently, petitioner did not respond to the said Show Cause Notice. Respondent rejected the application solely on the ground that petitioner had not responded to the Show Cause Notice.

Issue –

Whether the refund application was filed belatedly?

Order –

• The Divisional Bench of Hon’ble High Court observed that the Central Board of Indirect Taxes and Customs issued a Notification dated 05.07.2022 where it was directed that the period from 01.03.2020 to 28.02.2022 is excluded for purposes of computing the period of limitation, inter-alia, for applications filed under Section 54 of the Central Goods and Services Tax Act, 2017. By virtue of the said circular, petitioner’s application for refund would be within the period of limitation.
• Hence the matter was remanded back to consider the petitioner’s application afresh in the light of the circular dated 05.07.2022. The Writ petition disposed of.