Facts of the Case

The petitioner, M/s Kshirod Kumar Nayak, filed a writ petition before the High Court of Orissa at Cuttack against the Deputy Commissioner of CT & GST, Kendrapada Circle, and others, in relation to a dispute arising under the Odisha Goods and Services Tax framework. The matter came up for hearing through hybrid mode before the Acting Chief Justice and a companion Judge. At the hearing, counsel for the petitioner brought to the Court's notice that the GST Council was in the process of floating an amnesty scheme, which was awaiting formal notification, and sought permission to withdraw the writ petition so that the petitioner could avail of the remedy once the notification was issued. The order itself is brief and does not set out the underlying assessment, demand, or the specific grievance that had originally been agitated in the writ petition, the focus of the hearing being confined entirely to the withdrawal request. Such requests are common in GST litigation across High Courts in periods immediately preceding the announcement of amnesty or one-time settlement schemes, as taxpayers prefer to await the more favourable terms typically offered under such schemes rather than continue contesting a demand through writ proceedings. The order records the presence of the Standing Counsel for the CT & GST Organisation, who did not resist the withdrawal application.

Issues Involved

  1. Whether the petitioner should be permitted to withdraw the writ petition in view of an impending GST Council amnesty scheme.
  2. Whether liberty should be granted to the petitioner to pursue the underlying grievance before the appropriate forum once the amnesty notification is issued.
  3. Whether the interests of the Department would be prejudiced by permitting withdrawal at this preliminary, admission stage of the writ proceedings.

Petitioner's Arguments

  • The GST Council was floating an amnesty scheme which was awaiting notification.
  • The petitioner should be permitted to withdraw the writ petition so as to avail the remedy that would become available pursuant to the forthcoming notification.

Respondent's Arguments

  • The order records no independent objection or submission from the Standing Counsel for the CT & GST Organisation opposing the withdrawal sought by the petitioner.
  • By not resisting the withdrawal, the Department implicitly left the door open for the petitioner to approach the appropriate forum afresh once the amnesty scheme was formally notified.

Court Order/Findings

  • The Bench noted the submission of the petitioner's counsel regarding the impending GST Council amnesty scheme awaiting notification.
  • The Court permitted the withdrawal and disposed of the writ petition as withdrawn, while expressly reserving liberty to the petitioner to pursue its remedy before the appropriate forum in accordance with law.
  • No findings were recorded on the merits of the underlying tax dispute, since the petition was disposed of purely on the basis of withdrawal.

Important Clarification

This order illustrates the Orissa High Court's practice of permitting withdrawal of pending GST writ petitions, with liberty reserved, where a taxpayer wishes to await and avail a forthcoming amnesty or relief scheme announced by the GST Council rather than continue to litigate the original grievance. The reservation of liberty is significant, as it ensures that the taxpayer's substantive rights and remedies are not foreclosed merely because the writ was withdrawn, and that recourse remains open before the appropriate forum, whether departmental or otherwise, once the scheme in question is notified.

Sections Involved

  • Provisions of the Odisha Goods and Services Tax Act, 2017 and Rules made thereunder, under which the underlying dispute before the CT & GST Department arose.
  • Article 226 of the Constitution of India, 1950 – writ jurisdiction invoked before withdrawal.

Decision – In Favour of

This is a thin, procedural order that does not decide the case in favour of either the Assessee or the Department on merits. The writ petition was disposed of as withdrawn at the petitioner's own request, with liberty reserved to pursue the amnesty remedy or other appropriate proceedings, leaving the substantive dispute entirely undetermined and open for future adjudication.

Related Case Laws

No directly on-point case notes are currently published on this site.

Case Details

  • Court: High Court of Orissa at Cuttack
  • Case No.: W.P.(C) No.31529 of 2023
  • CNR: Not available
  • Coram: Acting Chief Justice Dr. B.R. Sarangi and Justice Murahari Sri Raman
  • Decision Date: 09 October 2023
  • Disposal Nature: Writ petition disposed of as withdrawn

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