Case Note & Summary
The appellant, M/s SMG Enterprises and Engineering Contractor, challenged two orders: (1) an assessment order dated 27.08.2024 for the period 2019-2020 under the Tamil Nadu Goods and Services Tax Act, 2017 (TNGST Act), and (2) a rectification order dated 24.01.2025 passed under Section 161 of the TNGST Act. The appellant had filed a rectification petition under Section 161 against the assessment order and simultaneously filed a writ petition (W.P.No.20157 of 2025) challenging the same assessment order. The learned Single Judge dismissed the writ petitions, leading to the present writ appeals. The Division Bench held that the writ petition challenging the assessment order was not maintainable because the appellant had already availed the statutory remedy of rectification, and the writ petition was also barred by limitation. Regarding the rectification order, the court noted that an order under Section 161 is a 'decision or order' under the TNGST Act and is appealable under Section 107 to the first appellate authority. Therefore, the court declined to exercise extraordinary jurisdiction under Article 226 of the Constitution. The appeals were dismissed, granting the appellant liberty to file an appeal under Section 107 against the rectification order within 30 days, subject to compliance with pre-deposit requirements.
Headnote
A) GST Law - Maintainability of Writ Petition - Alternative Remedy - Section 161, Tamil Nadu Goods and Services Tax Act, 2017 - Assessee challenged assessment order dated 27.08.2024 by filing rectification petition under Section 161 and also filed writ petition challenging the same order - Held that having chosen a statutory remedy, the assessee cannot simultaneously pursue a writ petition; the writ petition is also barred by limitation (Paras 4-6). B) GST Law - Appeal against Rectification Order - Section 107, Tamil Nadu Goods and Services Tax Act, 2017 - Order passed under Section 161 for rectification of errors is a 'decision or order' under the Act and is appealable under Section 107 - Held that the assessee must avail the remedy of first appeal instead of invoking extraordinary jurisdiction under Article 226 (Paras 8-9).
Issue of Consideration
Whether a writ petition challenging an assessment order is maintainable when the assessee has already availed the remedy of rectification under Section 161 of the TNGST Act, 2017; and whether an order passed under Section 161 of the TNGST Act, 2017 is appealable under Section 107 of the said Act.
Final Decision
Both writ appeals dismissed. The appellant is granted liberty to file an appeal under Section 107 of the TNGST Act, 2017 against the rectification order dated 24.01.2025 within 30 days from the date of receipt of a copy of this judgment, subject to compliance with pre-deposit requirements. No costs.
Law Points
- Writ petition not maintainable when statutory remedy of rectification under Section 161 of TNGST Act
- 2017 is availed
- Writ petition barred by limitation
- Order under Section 161 of TNGST Act
- 2017 is appealable under Section 107 of TNGST Act
- 2017
- Extraordinary jurisdiction under Article 226 not to be exercised when alternative remedy exists
