Page 100 - GSTL_21st May 2020_Vol 36_Part 3

346 GST LAW TIMES [ Vol. 36
of the CGST Act. Further, while referring to Section 73 or 74 of the CGST Act, it
has been contended that said Sections are not applicable in the instant case, as it
relates only to demand and recovery of tax not paid or short paid either on ac-
count of fraud or willful misstatement or suppression of facts, or otherwise. It
has been further contended by the respondents that due date as reflected in
GSTN Portal as “31st March, 2019” for furnishing of GSTR-3B monthly return for
the months of February and March, 2018 was reflecting owning to the fact that
Central Government, through Central Board of Indirect Taxes and Customs, vide
Notification No. 76/2018-Central Tax, dated 31st December, 2018 (Annexure-3
series) has waived the levy of late fee for furnishing returns for the months of
July, 2017 to September, 2018, if the said returns were furnished between the pe-
riod 22nd December, 2018 to 31st March, 2019, and the said Notification cannot
be interpreted to mean that the last date of filing of GSTR-3B Return has been
extended up to 31st March, 2019. Learned Counsel for the revenue, in support of
his contention that liability for payment of interest is automatic and does not re-
quire any adjudication process, has relied upon the following two decisions,
namely :-
(1) 2004 (5) SCC 472 (U.P. Cooperative Cane Unions Federations v. West
U.P. Sugar Mills Association & Ors.)
(2) 2010 (2) SCC 672 = 2010 (250) E.L.T. 3 (S.C.) (Commissioner of Central
Excise v. International Auto Limited)
11. Mr. Ratnesh Kumar, Learned Counsel for the revenue further, while
justifying the action of initiation of garnishee proceedings under Section 79 of the
CGST Act, contended that since the liability for payment of interest is automatic
on delayed payment of tax, the amount of interest is an amount payable under
the Act or the Rules and since the assessee, despite notices being issued to it, has
failed to discharge the said liability, it was well within the competence of the re-
spondent-Authorities to initiate garnishee proceedings under Section 79 of the
CGST Act by attaching Bank account of the petitioner.
12. We have heard the parties and have given our conscious considera-
tion to the issue involved in the instant writ application, which according to us, is
of seminal importance owing to the fact that CGST Act is a new enactment and
the question raised herein will have bearing upon large number of assessees.
13. Before adverting to the issues involved in the instant writ applica-
tion, we may like to refer an earlier order dated 24-7-2019 passed by this Court in
the instant writ petition, wherein we have noted that the screen shots of the
G.S.T.N. Portal showing the due date for furnishing monthly returns for Febru-
ary and March, 2018, as 31st March, 2019, as contained in Annexures 4 and 4/1 to
the writ application, were not denied by Learned Counsel for C.G.S.T. It is an
admitted position that on GSTN Portal for the months of February and March,
2018, due date for filing return was reflecting as 31st March, 2019. Although it
was contended that said due date has been reflected on GSTN Portal only be-
cause a waiver of Late Fee was notified by the Central Government for delay in
filing the Return for the said month up to 31st March, 2019, and the due date for
filing such return was not extended up to 31st March, 2019. Be that as it may, the
fact remains that on GSTN Portal, due date for filing monthly return for February
and March, 2018 was reflected as 31st March, 2019 and, admittedly, the Petitioner
filed its returns for the said months much prior to the said date. After noticing
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