BHIM DUTT PANDE Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner has approached this Court seeking its intervention for the purpose of restraining the respondent - North Central Railway Administration - to deduct any amount more than 2% in the name of tax from the bill of the writ petitioner.

(2.) The petitioner claims to be a Railway Civil Contractor based at Allahabad. According to the petitioner, he had participated in a bid for execution of annual repairs and maintenance of zonal work for GM bungalow and officers quarters in terms of a tender which was uploaded on 28th March, 2017. According to the petitioner, he had quoted his rate before the North Central Railway Administration in anticipation that he would be liable for the taxation at the rate of 2% {VAT (4-2)+Service Tax 0%}.

(3.) It is the specific case of the writ petitioner that in the meantime, VAT and Service Tax was replaced by GST and the new taxation system came into force on 1st July, 2017, whereupon the writ petitioner was held liable for GST on the work of railway at the rate of 12%, which was not and could not have been envisaged while the petitioner offered his rate.