SUDERSHAN LAL GUPTA CONTRACTOR Vs. UNION OF INDIA

JUDGEMENT

(1.) All these writ petitions have been filed by the petitioners assailing the legality and validity of imposition of service tax/goods and service tax (for short 'GST') on royalty.

(2.) In all the aforesaid writ petitions, learned counsel appearing on behalf of the respondents raised objection to the maintainability of the petitions by submitting that the issue regarding legality and validity of imposition of GST on royalty has been finally decided in more than one case by different Division Benches of this Court and, therefore, all these petitions, insofar as they seek to challenge legality and validity of imposition of GST on royalty is concerned, are liable to be rejected and dismissed. In support of aforesaid contention, learned counsel appearing on behalf of the respondents relied upon order dtd. 24/10/2017 passed by the Division Bench of this Court at Principal Seat Jodhpur in the case of Udaipur Chambers of Commerce and Industry and Others v. The Union of India and Another (D.B. Civil Writ Petition No. 14578/2016 and batch of writ petitions); order dtd. 26/7/2021 passed by the Division Bench of this Court in the case of M/s Mateshwari Minerals and Another v. Union of India and Another (D.B. Civil Writ Petition No. 7650/2021); Order dtd. 17/12/2021 passed by the Division Bench of this Court in the case of M/s Shivalik Silica v. Union of India and Others (D.B. Civil Writ Petition No. 14849/2021) and order dtd. 28/4/2022 passed by the Division Bench of this Court in the case of Rajasthan Small Mines (Cheja Patthar) Lease Holders Association and Others v. State of Rajasthan and Others (D.B. Civil Writ Petition No. 5199/2022).

(3.) On the other hand, learned counsel appearing on behalf of the respective petitioners would submit that the order passed by this Court in the case of Udaipur Chambers of Commerce and Industry and Others v. The Union of India and Another (supra) has been challenged in the Hon'ble Supreme Court by filing SLP. It is further submitted that in that case, recovery has been stayed. Learned counsel for the petitioners would further submit that in other cases also, where the order has been challenged, in some of the cases, interim protection has been granted. Learned counsel would also submit that vide order dtd. 5/7/2022 passed by Division Bench of this Court at Principal Seat Jodhpur in the case of Shree Basant Bhandar INT Udyog v. Union of India and Others (D.B. Civil Writ Petition No. 5678/2022 and batch of writ petitions), interim order has been passed staying the recovery of GST on royalty. Therefore, objection to the maintainability of these petitions may be rejected and present writ petitions may be entertained and interim protection may be granted to the petitioners.