Facts of the Case

M/s. Agarwal Agro Industries sought quashing of three orders dated 10.06.2025 and 11.06.2025. The principal grievance was that the petitioner had been left remedyless because the Goods and Services Tax Appellate Tribunal, despite GST having come into force in 2017, had still not become functional. The petitioner relied on an earlier order of the same Court in D.B. Civil Writ Petition No.1113/2024, which had granted protection under Section 112(8) of the Rajasthan GST Act pending constitution of the Tribunal.

Issues Involved

  1. What interim protection is available to a taxpayer whose statutory remedy of a second appeal before the GST Appellate Tribunal cannot be availed because the Tribunal has not been constituted.
  2. How limitation for filing such an appeal should be reckoned once the Tribunal eventually becomes functional.

Petitioner's Arguments

  • Relied on the Court's earlier order in D.B. Civil Writ Petition No.1113/2024, wherein, on the Department's own concession that the Tribunal was not yet constituted, the petition was disposed of with protection under Section 112(8) and liberty to appeal within a stipulated period once the Tribunal was constituted, based on a Rajasthan Finance Department circular dated 23.03.2020.

Respondent's Arguments

  • No separate contest is recorded; the earlier order relied upon had itself been passed on the Department's own submission regarding the Tribunal's non-constitution and the applicable circular.

Court Order / Findings

  • The Division Bench disposed of the petition on the same terms as its earlier order in W.P. No.1113/2024: the petitioner to deposit the amount as per Section 112(8) of the Rajasthan GST Act within six weeks.
  • On such deposit, no further recovery proceedings would be drawn for the balance amount, provided the petitioner avails the statutory remedy of appeal within three months from the date of constitution of the Tribunal.
  • If an appeal is filed within three months of the Tribunal's constitution, it shall be treated as filed within limitation, and the petitioner may thereafter request early disposal, to be considered in accordance with law.

Important Clarification

  • Pending constitution of the GST Appellate Tribunal, the Rajasthan High Court's settled approach is to require the taxpayer to deposit the pre-deposit amount contemplated under Section 112(8), stay further recovery of the balance, and treat an appeal filed within three months of the Tribunal's constitution as filed within limitation — sparing taxpayers from being left without an effective statutory remedy.

Sections Involved

  • Section 112, Rajasthan GST Act, 2017 — appeal to the Appellate Tribunal; sub-section (8) prescribes the pre-deposit for maintaining such appeal.

Decision – In Favour of

Disposed of with directions, in favour of the Assessee to the extent of protection from recovery and preservation of the appellate remedy, conditional on payment under Section 112(8).

Case Details

Court: High Court of Judicature for Rajasthan, Bench at Jaipur
Case No.: D.B. Civil Writ Petition No. 12539/2025
Neutral Citation: [2025:RJ-JP:32936-DB]
Coram: Hon'ble Mr. Justice Sanjeev Prakash Sharma and Hon'ble Mr. Justice Sanjeet Purohit
Date of Order: 21st August, 2025

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