SONJOLI CONSTRUCTION CO. Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner herein is a proprietorship firm registered under the GST. A scheme under the title of 'Sabka Vikas Legacy Dispute Resolution Scheme, 2019 (hereinafter referred to as 'the SVLDR Scheme') for voluntary disclosure was floated by the respondents. The petitioner claims to have opted for the said Scheme and submitted an application dtd. 30/12/2019 and along therewith, he also deposited the due service tax to the tune of Rs.10,74,702.00 by way of voluntary disclosure. The said application of the petitioner under Sec. 129(2)(c) of the Finance Act, 2019 has been rejected vide order dtd. 12/10/2020 issued by the Joint Commissioner, CGST and Excise Duty Commissionerate, Jodhpur which is assailed in this writ petition.

(2.) Learned counsel Shri Gajendra Panwar representing the petitioner submitted that the petitioner was entitled to apply under the SVLDR Scheme and he filed the timely application and deposited the due tax amount under the said Scheme. However, application filed by the petitioner has been rejected only an erroneous ground that audit had been initiated and hence, the petitioner was not entitled to the benefit of the SVLDR Scheme. Shri Panwar submitted that the enquiry notice under Sec. 125(1)(i) of the GST Act as referred to in the order dtd. 12/10/2020 was issued after the cut-off date i.e. 30/6/2019 and as such, the same was time barred and could not be used as a ground to deprive the petitioner from taking benefit of the Voluntary Disclosure Scheme.

(3.) Shri Rajvendra Saraswat, Advocate representing the respondent department, submitted that the notice for initiation of enquiry was issued to the petitioner on 26/12/2019 and the petitioner had been requested to provide the documents for conducting audit of the firm and thus, the enquiry having been initiated, the petitioner was precluded from applying under the SVLDR Scheme. However, Shri Saraswat is not in a position to dispute the fact that the last date stipulated for initiating the investigation or audit making the applicant ineligible to apply under the Disclosure Scheme was 30/6/2019. It is not disputed that the notice for providing documents to conduct audit was issued to the petitioner well after 30/6/2019 to be specific on 26/12/2019.