2017 Taxo.online 32

Special Civil Application No. 18125 of 2017 dated 04.10.2017

FC AGRAWAL COAL PVT. LTD.

UNION OF INDIA & ORS.

2017

GST

Goods & Services Tax (Compensation to States) Act, 2017

Akil Kureshi, Justice & Biren Vaishnav, Justice

In favour of assessee

High Court

Delhi

Constitutional validity challenged – Challenge made to the GST(Compensation to States) Act, 2017 – Petitioner grievance is that clean energy cess already paid on coal imported by it prior to GST regime – No credit would be allowed on such cess for stock not cleared by the petitioner – Moreover, the Petitioner asked to pay fresh cess under GST(Compensation to States) Act, 2017 – Held: – The validity of a Union legislation is questioned – Notice Issued and let there be NOTICE to learned Attorney General also.

Represented by: – 

Petitioner: – Mr Hardik P Modh 

Order: – 

1. The petitioner is an importer of coal. The petitioner has challenged vires of the Goods and Service Tax (Compensation to States) Act, 2017 and relevant notifications issued under the said Act, inter alia, on the ground that the same is ultra-vires Article 279A of the Constitution of India. Main grievance of the petitioner is that on the coal imported by it prior to the introduction of goods and service tax regime, the petitioner had already paid clean energy cess at the prescribed rate and on the stock which the petitioner had not cleared, no credit would be allowed on such cess and the petitioner would be asked to pay fresh cess under the Goods and Service Tax (Compensation to States) Act, 2017 and the rules made thereunder.
2. NOTICE, returnable on 15.11.2017. In view of the fact that the validity of a Union legislation is questioned, let there be NOTICE to the learned Attorney General also. Direct service is permitted.