Page 212 - GSTL_2nd July 2020 _Vol 38_Part 1

130 GST LAW TIMES [ Vol. 38
24. Regarding the penalty levied, the appellant strongly contended that
since it has already disclosed the outward taxable supplies turnover through the
returns in Form GSTR-1, charging it with wilfulness/mala fides is not logical and
lacking justifiability. Hence, the penalty under Section 122 of the Act, does not
arise and such levy of penalty treating it as wilful suppression of the outward
supplies is erroneous.
Issues for Adjudication :
(1) Whether the best judgment orders through estimating the outward
taxable supplies by AA, are based on any dependable and authentic
evidence/basis or not?
(2) Whether the appellant’s contention that Section 62 cannot be in-
voked as GSTR-3B is not any return prescribed under Section 39 of
the Act, hence these orders are legal or not?
(3) Whether the wilful suppression aspect and resultant levy of 100%
penalty, is found to be having any basis and such wilfulness, has
been established by AA or not?
(4) Whether the interest levied by AA, is in tune with the provisions of
the GST Act or not?
Analysis :
25. Perused the grounds of appeal along with the assessment orders
passed by the AA, and after thorough verification of records, the following find-
ings are recorded;
(1) Regarding the levy of tax of Rs. 36,22,84,718/- :
A basic perusal of AA’s order reveals that the findings on the turn-
overs are not based on analytical and exhaustive scrutiny. The pal-
pably pointing out certain anomalies, which are discussed hereun-
der :-
Firstly, the appellant raised some strong dissensions regarding in-
voking Section 62 with reference to Section 39, contemplating that
GSTR-3B is not a statutory return prescribed under Section 39. Thus,
the appellant’s objections caused necessity for analysis and interpre-
tation of statutory provisions i.e. Section 39 and Section 62 of the
Act. In this connection, the following judgment - 2019-VIL-314-GUJ
= 2019 (26) G.S.T.L. 481 (Guj.) though not advanced and relied on by
appellant, but proclaimed recently, will be much helpful in under-
standing the present issue.
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CIVIL APPLICATION NO. 18962 of 2018
Dated 24-6-2019
AAP AND CO., CHARTERED ACCOUNTS THROU
AUTHORISED PARTNER
Versus
UNION OF INDIA & 3 other(s)
26. The writ-application has been filed seeking quashing and set-
ting aside of the press release dated 18th October, 2018 to the extent
that its para 3 purports to clarify that the last date for availing the
input tax credit relating to the invoices issued during the period
GST LAW TIMES  2nd July 2020  212