Facts of the Case

The petitioner, Sabita Singh, wife of Barun Kumar Singh, resident of Darbhanga, Bihar, approached the High Court of Judicature at Patna after her delayed statutory appeal was rejected (Annexure-4) by the first Appellate Authority as barred by limitation. Section 107 of the BGST Act, 2017 provides three months to file an appeal, extendable by a further one month on satisfactory explanation for the delay; the petitioner's appeal against an order passed under Sections 73 or 74 of the BGST Act had been filed beyond even that further one-month condonable period. While the matter was pending, the CBIC issued Notification No. 53 of 2023-Central Tax dated 02.11.2023, extending the time for filing appeals against orders passed under Sections 73 and 74 of the BGST Act on or before 31.03.2023, up to 31.01.2024, under a special procedure subject to specified pre-deposit conditions.

Issues Involved

  1. Whether the Appellate Authority correctly rejected the petitioner's appeal as barred by limitation under Section 107 of the BGST Act.
  2. Whether Notification No. 53 of 2023-Central Tax provided a fresh, conditional window to restore or file the appeal despite its earlier rejection for delay.
  3. What conditions must be satisfied to avail the benefit of that Notification.

Petitioner's Arguments

  • The appeal against the order under Sections 73/74 of the BGST Act was filed late, but Notification No. 53 of 2023-Central Tax provides a special procedure extending the time for filing such appeals up to 31.01.2024 for orders passed on or before 31.03.2023.
  • The petitioner sought restoration of the appeal, or the benefit of filing it afresh, by invoking that Notification rather than being left without any appellate remedy.

Respondent's Arguments

  • It is settled law that where a statute prescribes a specific period of limitation for filing a delayed appeal — as Section 107(4) of the BGST Act does — neither the Appellate Authority nor the High Court under Article 226 can condone delay beyond that period.
  • Any relief under Notification No. 53 of 2023-Central Tax remains strictly conditional on compliance with the payment requirements prescribed in paragraph 3 of the Notification, including payment of the full admitted tax, interest, fine, fee and penalty, plus 12.5% of the remaining disputed tax (subject to a cap of ₹25 crore), of which at least 20% must be paid through the Electronic Cash Ledger.

Court Order/Findings

  • The Court reiterated the settled position that neither the Appellate Authority nor the High Court under Article 226 can condone delay in filing an appeal beyond the period specifically provided in the statute.
  • However, Notification No. 53 of 2023-Central Tax dated 02.11.2023 independently extends the time for filing an appeal against orders under Sections 73 or 74 of the BGST Act, passed on or before 31.03.2023, up to 31.01.2024, through a special procedure, and appeals rejected earlier for delay can also be restored on satisfying that Notification's conditions.
  • The impugned rejection order dated 14.07.2023 (Annexure-4) was set aside, conditional on the petitioner satisfying the payment requirements of paragraph 3 of the Notification — full payment of admitted dues plus the deficient portion of 12.5% of the disputed tax, at least 20% of which through the Electronic Cash Ledger — before 31.01.2024, whereupon the appeal would be taken up and considered on merits.
  • If the conditions were not satisfied within that timeline, the impugned rejection order would stand automatically restored. The writ petition was allowed on these terms.

Important Clarification

  • Notification No. 53 of 2023-Central Tax dated 02.11.2023 provides a conditional, time-bound amnesty for appeals against orders passed under Sections 73 or 74 of the CGST/BGST Act on or before 31.03.2023 that were rejected, or not filed, because the ordinary Section 107 limitation had expired — such appeals can be filed or restored up to 31.01.2024.
  • The relief is not automatic: the assessee must pay the full admitted tax, interest, fine, fee and penalty, plus 12.5% of the remaining disputed tax (capped at ₹25 crore), with at least 20% of that 12.5% debited from the Electronic Cash Ledger.
  • No refund is available, pending disposal of the appeal, for amounts already paid in excess of the Notification's requirement, and the Notification does not apply where the demand does not involve tax at all.
  • Outside the scope of this specific Notification, the general rule remains undisturbed — neither the Appellate Authority nor a writ court can otherwise condone delay in filing a GST appeal beyond the statutory period.

Sections Involved

  • Section 107, BGST Act, 2017 — governs appeals to the Appellate Authority; prescribes a three-month period plus a further one-month condonable delay.
  • Sections 73 and 74, BGST Act, 2017 — determination of tax not paid or short paid, without fraud (Section 73) and by reason of fraud or wilful misstatement (Section 74).
  • Notification No. 53 of 2023-Central Tax dated 02.11.2023 — special one-time procedure extending the appeal window up to 31.01.2024 for orders under Sections 73/74 passed on or before 31.03.2023, subject to pre-deposit conditions.
  • Chapter XIII, CGST Rules, 2017 — procedural rules applicable mutatis mutandis to appeals filed under the Notification.

Decision – In Favour of

The decision is disposed of with directions, in part in favour of the Assessee (Petitioner). The rejection order was set aside and the appeal was conditionally restored, but relief is contingent on the petitioner satisfying the Notification's pre-deposit conditions before 31.01.2024, failing which the original rejection stands automatically restored.

Related Case Laws

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

Case Details

  • Court: High Court of Judicature at Patna
  • Case No.: Civil Writ Jurisdiction Case No.16601 of 2023
  • CNR: Not available on record
  • Coram: Chief Justice K. Vinod Chandran and Justice Rajiv Roy
  • Decision Date: 30 November 2023
  • Disposal Nature: Writ petition allowed; delayed appeal conditionally restored subject to Notification No. 53/2023 pre-deposit conditions

Link to Download the Order

Download the full judgment (PDF)

Disclaimer

This content is shared strictly for general information and knowledge purposes only. Readers should independently verify the information from reliable sources. It is not intended to provide legal, professional, or advisory guidance. The author and the organisation disclaim all liability arising from the use of this content. The material has been prepared with the assistance of AI tools.