The issue is relating to levy of interest on net tax liability under Sect ion 50 of the JGST Act, 2017.
Section 50 of the CGST Act — Interest –- The petitioner challenged common appellate order dated 22nd February 2021, whereby the appeal filed by the petitioner against the adjudication order levying interest under Section 50 on gross tax liability has been dismissed. The total interest liability imposed by the adjudication order has been upheld in appeal. The petitioner counsel submitted that the petitioner was liable to pay interest on the Net Tax Liability. The court observed that the issue relating to levy of interest on net tax liability under Section 50 of the Act shall stand governed by the order dated 21st January 2021, wherein the Respondent State by way of supplementary counter affidavit has made a categorical statement that after issuance of the Administrative Instructions by CBIC, the State authorities are also imposing interest on Net Tax Liability.
Held that:- The Hon’ble High Court disposed the petition accordingly.
The issue is relating to levy of interest on net tax liability under Sect ion 50 of the JGST Act, 2017.
Section 50 of the CGST Act — Interest –- The petitioner challenged common appellate order dated 22nd February 2021, whereby the appeal filed by the petitioner against the adjudication order levying interest under Section 50 on gross tax liability has been dismissed. The total interest liability imposed by the adjudication order has been upheld in appeal. The petitioner counsel submitted that the petitioner was liable to pay interest on the Net Tax Liability. The court observed that the issue relating to levy of interest on net tax liability under Section 50 of the Act shall stand governed by the order dated 21st January 2021, wherein the Respondent State by way of supplementary counter affidavit has made a categorical statement that after issuance of the Administrative Instructions by CBIC, the State authorities are also imposing interest on Net Tax Liability.
Held that:- The Hon’ble High Court disposed the petition accordingly.