2024(02)LCX0464
Adhunik Infratech India Private Limited
Versus
The Assistant Commissioner Of State Tax
WRIT PETITION NO: 3407 OF 2024 decided on 09/02/2024
IN THE HIGH COURT OF ANDHRA
PRADESH :: AMARAVATI
(Special Original Jurisdiction)
FRIDAY, THE NINTH DAY OF FEBRUARY
TWO THOUSAND AND TWENTY FOUR
PRESENT
THE HONOURABLE SRI JUSTICE U.DURGA PRASAD RAO
THE HONOURABLE SMT JUSTICE KIRANMAYEE MANDAVA
WRIT PETITION NO: 3407 OF 2024
Between:
ADHUNIK INFRATECH INDIA PRIVATE LIMITED,
PlotNo.77-78, Phase-3, Kamalapuri
Colony, Srinagar Colony,
Hyderabad - 500 073. Rep. by its Director Mr.Kotamreddi
Ramesh
...PETITIONER
AND
1. THE ASSISTANT COMMISSIONER OF
STATE TAX, Bapatla Circle, Bapatla, Guntur-II Division.
2. The State of Andhra Pradesh, Rep. by its Principal Secretary, Revenue
Department, Secretariat, Amaravati.
...RESPONDENTS
The Court made the following Order:
(Per Hon’ble Sri Justice U. Durga Prasad Rao)
In this writ petition filed under Article 226 of the Constitution of India, the petitioner seeks the following relief:
“pleased to issue Writ of Mandamus or any other appropriate Writ or Order or direction declaring the action of the 1st Respondent in issuing Form GST DRC13 dated 25.01.2024 to the Canara Bank of the V Petitioner directing to pay a sum of Rs.1,77,12,294/ to the Government forthwith or upon the money becoming due or being held in compliance of the provisions contained in Clause ci of subsection 1 of Section 79 of the CGST Act 2017 as arbitrary high handed contrary to the Order of the Hon’ble Court dated 11.12.2023 in W.P.No. 31777 of 2023 and consequently direct the Respondent to adjust the tax arrears to an extent of 30percent from out of the bill amounts received from the third parties and the Petitioner may be permitted to utilise 70 percent of the bill amounts and when received to run its business activities”.
2. When the matter came up for hearing, learned Senior Counsel Sri Shaik Jeelani Basha would submit that the petitioner is only sub-contractor under five main contractors who are executing works contract for the State Government and their due amounts are not still received and concomitantly the petitioner also not received his contract work amounts. However, in the meanwhile, the 1st respondent has issued a garnishee notice dated 25.01.2024 to the petitioner’s bank i.e., Branch Manager, Canara Bank and sought for attachment of tax amount of Rs.1,77,12,294/-. As on the date, an amount of Rs.23,00,000/- was to the credit of petitioner’s account which amount was received as a part payment from the main contractor. Now the petitioner’s submission is that he has to incur a huge expenditure for payment of salaries to his workforce and if his amount is attached and credited to the departmental account, the petitioner will be put to much hardship and the employees will be deprived of their salaries. The petitioner has to pay more than Rs.50,00,000/- towards the salary to his employees.
3. Heard.
4. Since tax payment is one of the burdens of the petitioner, this Court is not able to consider the request of the petitioner to raise the attachment. The learned Senior Counsel made an alternative prayer that for payment of the balance of the tax amount, the department may grant him reasonable time.
5. Learned Government Pleader for Commercial Tax would submit that if the petitioner makes a representation to the 1st respondent explaining cogent reasons for seeking time, the same may be considered and suitable orders will be passed.
6. In that view, this Writ Petition is disposed of giving liberty to the petitioner to submit a representation to the 1st respondent seeking time for payment of the balance of the tax amount within two (2) weeks from today, in which case, the 1st respondent shall consider the same, and after affording an opportunity of hearing to the petitioner, pass an appropriate order in accordance with law expeditiously, but not later than one (1) week from the date of receipt of the representation. No costs.
As a sequel, interlocutory applications pending, if any, in this case shall stand closed.
_______________________
U.DURGA PRASAD RAO, J
________________________
KIRANMAYEE MANDAVA, J
09.02.2024
Note: Issue C.C. by 12.02.2024.
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