Page 40 - GSTL_23rd July 2020_Vol 38_Part 4

J98 GST LAW TIMES [ Vol. 38
tenure shall exclude any period during which proceedings has been stayed by
order of Court/Tribunal.
In case of matter remanded back by the order of Court/Tribunal the or-
der shall be passed within two years from the date of communication of direc-
tion.
Is adjournment permissible under Section 73?
Adjournment can be permitted. No proceedings under Section 73 shall
be finalised without giving an opportunity of being heard. If sufficient cause is
shown by the person chargeable to tax, the proper officer shall adjourn the hear-
ing provided such adjournment shall not be provided for more than three times
during the proceedings.
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[Continued from page J95]

Rule 37(4) of the CGST Rules, 2017 is extracted below :
RULE 37. Reversal of input tax credit in the case of non-payment of con-
sideration. -
(4) The time limit specified in sub-section (4) of section 16 shall not apply to
a claim for re-availing of any credit, in accordance with the provisions of the
Act or the provisions of this Chapter, that had been reversed earlier.
Since the said sub-rule is made applicable to all re-availment made under the pro-
visions of the CGST Act, it can be argued that the same will be applicable to the
present scenario also and it is possible to argue that Rule 37(4) applies to re-
availment of credits reversed under Section 17(5) also and resultantly, no time-
limit applies for the re-availment of credit reversed earlier.
However, it should be noted that Rule 37 draws its powers from second
and third proviso of Section 16 of the CGST Act. Therefore, it is also possible that
time-limit relaxation is applicable only to the situation contemplated in the se-
cond and third proviso to Section 16 and not to all re-availment under the CGST
Act.
Therefore, while the relaxation under Rule 37(4) may not be available to
re-availing credits reversed under Section 17(5), drawing analogy to the situation
contemplated in Rule 37(4) and from judicial precedence in the earlier regime, it
is possible to conclude that no time-limit applies to re-availment of ITC reversed
under Section 17(5), upon re-establishment of eligibility.
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