THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM v. Union of India and 7 Ors. R/b the Secretary to the Govt

Advocate for the Petitioner : Mr. Jordan Rohmingthanga Advocate for the Respondent : Mr. Johny L Tochhawng BEFORE HONOURABLE MRS. JUSTICE MARLI VANKUNG ORDER Date : 03-09-2025 Heard Mr. Jordan Rohmingthanga, learned counsel for the petitioner. Also heard Mr. Johny L. Tochhawng, learned counsel for the respondents.

This is a petition filed under Article 226 of the Constitution of India, wherein the petitioner has assailed the notifications dated 09.10.2019,

17.08.2017 and 10.09.2018 and the Order-In-Original dated 10.04.2024 issued by the Joint Commissioner, CGST Commissionerate, Aizawl/respondent No. 7, whereby, demanding Input Tax Credit (CGST and SGST) amounting in aggregate to Rs. 12,95,11,862/- in terms of Section 73 of CGST Act, 2017 read with the relevant Section of Mizoram GST Act, 2017 had been confirmed along with the demand of interest, penalty and late fees etc.

Mr. Jordan Rohmingthanga, learned counsel for the petitioner submits that during the pendency of the present writ petition, the respondent authorities have brought an amendment in Section 6 of the Central Goods and Services Tax vide Gazette notification dated 16.08.2024, with retrospective effect from

01.07.2017, by inserting Sub-section (5) of Section 16 of the Central Goods and Services Tax Act, 2017 (Act of 2017, for short). The learned counsel submitted that in view of the aforesaid amendment, the impugned order dated 09.10.2019 may be set aside or the court may pass any order found appropriate by taking Page No.# 3/4 into consideration the provision of Section (5) of Section 16 of the Central Goods and Services Tax Act, 2017.

The learned counsel for the petitioner further submitted that on the amendment of Section 16 of the Central Goods and Services Tax, a Coordinate Bench of this court in WP(C) No. 163/2024 dated 27.05.2025 had disposed of the writ petition, wherein the facts and issues involved are similar to the instant case. The learned counsel submitted that the instant case is fairly covered by the mentioned WP(C) No. 163/2024 and prayed that this court may also dispose of the instant writ petition by issuing a similar order.

Mr. Johny L. Tochhawng, learned counsel for the respondents submitted that the SCN was demand for recovery of the ineligible Input Tax Credit taken by the noticee during the tax period 2018- 2019, 2019-20 and 2020-2021 in terms of section 73(9) read with Section 16(4) of the CGST Act, 2017 and similar provision under Mizoram GST Act, 2017 and section 20 of the IGST Act,

2017. There was no modification or amendment for waiver or putting aside of the provisions given in the sections 16(4) of the CGST Act, 2017.

The learned counsel however, submitted that in view of the recent amendment of Section 16 of the Central Goods and Services Tax vide notification dated 16.08.2024 and the judgment of a Coordinate Bench of this court in WP(C) No. 163/2024 dated 27.05.2025, the instant writ petition can be disposed of, by passing a similar order as that passed by a Coordinate Bench of this court or by setting aside the impugned orders and dispose of the instant writ petition as deemed fit.

On hearing the submissions made by the learned counsels for both the Page No.# 4/4 parties, it is seen that Section 16 of the Central Goods and Services Tax has been amended by inserting Sub-section (5) to Section 16 of the Act. Sub-section (5) of Section 16 is reproduced herein under:- “(5) Notwithstanding anything contained in sub-section (4), in respect of an invoice or debit note for supply of goods or services, or both pertaining to the Financial Years 2017-18, 2018-19, 2019-20 and 2020-21, the registered person shall be entitled to take input tax credit in any return under Section 39 which is filed up to the thirtieth day of November, 2021".

In view of the above amendment, wherein Sub-section (5) of Section 16 of the Central Goods and Services Tax is inserted having retrospective effect from

01.07.2017 and also considering the fact that the instant case is covered by the judgment of the Coordinate Bench of this court in the Principal Seat in WP(C) No. 163/2024 dated 27.05.2025, this court finds it fit to set aside the impugned Notification No. 44/2018 dated 09.10.2019 and the Order-In-Original dated

10.04.2024.

Accordingly, WP(C) No. 75/2025 stands allowed and disposed of as above.

On the disposal of the instant Writ Petition, the connected I.A.(Civil) No. 118/2024 also stands disposed of. Comparing Assistant JUDGE