Matter to Be Remanded for Re-Adjudication Since Assessee Had Already Paid IGST on Imports From SEZ | HC

Case Details: Softrose Petrochemicals (P.) Ltd. v. Assistant Commissioner of State Tax - [2024] 162 taxmann.com 756 (Calcutta)

Judiciary and Counsel Details

• Raja Basu Chowdhury, J.
• Ankit Kanodia, Ms Megha Agarwal & Jitesh Sah for the Petitioner.
• Tanoy Chakraborty & Saptak Sanyal for the Respondent.

Facts of the Case

The petitioner had imported goods from a Special Economic Zone (SEZ) unit and paid IGST on imports. It submitted that it was not required to make payment of CGST/SGST with regard to any transaction carried out with any unit under the SEZ. However, the department issued order under Section 73 demanding CGST/SGST on the ground that petitioner was required to make payment of CGST/SGST instead of IGST on imports from SEZ. It filed writ petition against the demand order

High Court Held

The Honorable High Court noted that the proper officer had issued show cause notice and the petitioner had submitted response on the common portal but the proper officer had not considered the submissions and passed the order. Therefore, the Court held that the order was required to be set aside and matter was remanded to proper officer for re-adjudication. The Court also directed officer to consider petitioner’s submissions and relevant press release and pass reasoned order within 6 weeks.