Page 87 - GSTL_3rd September 2020_Vol 40_Part 1

2020 ] ALLIED ENGINEERS & BUILDERS PVT. LTD. v. MUTHOOT FINANCE LTD. 21
REPRESENTED BY : S/Shri R.M. Sinha and Prateek M. Sinha, Advocates,
for the Petitioner.
Shri Arvind Kumar, Assistant Commissioner, for the
Respondent.
[Judgment per : Sanjeev Narula, J. (Oral)]. - CM Appl. 12795/2020 : Ex-
emption allowed, subject to just exceptions.
2. The application is disposed of.
W.P. (C) 3597/2020
3. The Petitioner has preferred the present petition under Article 226 of
the Constitution of India seeking the following reliefs :
“It is therefore respectfully prayed that this Hon’ble Court may kindly be
pleased to issue writ of mandamus or certiorari any other similar writ or
order or direction, directing the respondent no. 2 to disclose as to wheth-
er the respondent no. 1 has taken credit of the GST amount earlier Ser-
vice Tax qua (GST REGN. No. 07AABCT0343BIZO) - charged by the peti-
tioner in the rent bills raised against respondent no. 1 - the tenant-the
end user, so as to the petitioner can recover the Service Tax now GST
amount from the Tenant - the respondent no. 1.
Such other or further orders may be passed in favour of the petitioner
and against the respondents as this Hon’ble Court deems fit and proper
under the facts and circumstances of the case.”
4. The Petitioner avers that it is the sole/absolute owner/lease rights
holder and in possession of shop/office premises situated on the ground floor,
Plot No. C-2, J Block, L.S.C., Wazirpur, Opp. Water Tank Ashok Vihar, Delhi -
110052. The afore-noted property has been leased in favour of Respondent No. 1,
vide lease agreement dated 27th June, 2011, on a monthly rent of ` 81,000/-, for a
term of 15 years. Clause 13 of the lease deed is stated to be the bone of contention
between the Petitioner and Respondent No. 1. The said clause reads as under :
“That the lesser shall be liable to pay all taxes/charges in respect of the de-
mised premises including property/Municipal Taxes, levies etc., Service
Tax and all other taxes the lesser shall also be responsible and liable for
payment of any new/additional charges rates, taxes, surcharges, penalties,
etc. whatsoever raised by the competent authority/forum etc., at any time,
pertaining to the demised premises for its use or otherwise.”
5. It is asserted that earlier when the total turnover of the Petitioner
was below the threshold limit required for service tax registration, the invoices
for the monthly rent were issued without levying service tax. Later, when the
turnover crossed threshold limit, it got registered with the service tax depart-
ment and started levying service tax on the rent amount. Presently, Petitioner is
raising invoices with GST at the prevailing rate.
6. Mr. Sinha, Learned Counsel for the Petitioner argues that Petitioner
has been charging Service Tax/GST at the rate of 18% on the monthly rent, but
Respondent No. 1 has not been paying the said taxes. Notwithstanding the said
default, Petitioner has been regularly depositing the taxes with the tax depart-
ment. Mr. Sinha draws our attention to the tabulation in the petition, enumerat-
ing the monthly rent invoices for the period from November, 2012 to June, 2020.
The said table captures the bill amount, Service Tax/GST component and the
balance amount due and payable by Respondent No. 1 against each invoice. Mr.

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