GST Writ Petition Not Maintainable After Statutory Appeal Limitation Expires: Allahabad High Court

The Allahabad High Court has held that a taxpayer cannot invoke writ jurisdiction to bypass the statutory limitation period prescribed for filing an appeal under the GST Act, refusing to entertain a challenge to an assessment order filed after the expiry of the appellate limitation period.

A Division Bench comprising Justices Shekhar B. Saraf and Abdhesh Kumar Chaudhary dismissed a writ petition filed by Mishra Security Services, holding that entertaining the petition would undermine the statutory appellate framework. The judges held:

“In our view, no proper explanation has been provided by the petitioner for non-filing of the appeal within time and/or non-filing of the writ petition within the limitation period and/or any attempt to explain the latches as to why the writ petition has been filed at such a belated stage. Furthermore, writ jurisdiction can certainly not be exercised when invoked to undermine or defeat the application of a statutory regime so as to render the provision of limitation provided in the statute otiose.”

The petitioner challenged a show-cause notice dated 17 March 2025 and an assessment order dated 4 June 2025, contending that they had been issued without jurisdiction. The authorities had granted the petitioner an opportunity of personal hearing before passing the assessment order. It therefore found no violation of the principles of natural justice.

The Bench observed that the petitioner approached the High Court only after the limitation period for filing a statutory appeal under Section 107 of the GST Act had expired. It also noted that the Act provides a three-month period for filing an appeal, with a further one-month condonable period upon showing sufficient cause. It remarked:

“We are rather surprised and are unable to countenance as to how can the petitioner file the present writ petition at this belated stage, merely to bypass the limitation prescribed for filing a statutory appeal under Section 107(1) of the GST Act. It is to be noted that the said Act provides for filing an Appeal within three months of communication of order sought to be challenged, with a further window of one month as per Section 107(4) of the Act, in case sufficient cause is shown to the satisfaction of the authority.”

Observing that the writ petition was, in substance, an attempt to challenge the assessment order after the statutory appellate remedy had become time-barred, the Bench held that the petitioner had remained a fence-sitter and had failed to diligently pursue its rights. The judged concluded:

“In light of the same, we are of the view that entertaining this writ petition would amount to allowing the petitioner to circumvent the statutory appellate procedure.”

Accordingly, the High Court dismissed the writ petition.