GST Department fined with Rs. 25,000/ for indulging in frivolius litigation

 1,019 total views

GST Department fined with Rs. 25,000/ for indulging in frivolius litigation

Delhi High Court judgment dated 10.06.2020 in

WP(C) NO. 13114 OF 2019 in

Team HR Services Private Ltd. v UOI and Anr.

found that GST Department indulged in frivolous litigation and are burdened with costs of Rs.25,000/- payable to the petitioner and directed that Department to refund sum of Rs. 2.38 crores by 15th July 2020 with interest at the rate of 6% p.a. from 2006 to May 2018 and at the rate of 7.5% from June 2018 to till date. The case heard through video conferencing.

In this case, the Company deposit a sum of Rs. 2.38 crores in year 2006 under protest during audit/ investigation under Service Tax and finally the Tribunal in year 2018 decided in favour of company that entire demand in time barred and the no tax liability could be fasten on the Company. The Revenue Appeal in the year 2018 was also dismissed by the Delhi High Court. The Company sought refund of Rs. 2.38 crores by the Department made company to suffer despite repetitive request and hearing, the Department did not grant the refund, in these compelling circumstances, the Company approached to High Court as the Department has no right to retain that amount of Rs. 2.38 crores.

Leave a Comment

Your email address will not be published.

the taxtalk

online portal for tax news, update, judgment, article, circular, income tax, gst, notification Simplifying the tax and tax laws is the main motto of the team tax talk, solving