Case Details: Deputy Commissioner ST vs. Wingtech Mobile Communications (India) (P.) Ltd. [2025] 179 taxmann.com 343 (SC)
Judiciary and Counsel Details
- Pamidighantam Sri Narasimha & Atul S. Chandurkar, JJ.
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N. Venkataraman, A.S.G., Sahil Bhalaik, AOR, Tushar Giri, Siddharth Anil Khanna, Ritik Arora, Shivam Mishra, Ms Gulshan Jahan & Gowtham Polanki, Advs. for the Petitioner.
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Balbir Singh, Sr. Adv., Rohan Khare, Priyam Bhatnagar, Advs. & Anmol Anand, AOR for the Respondent.
Facts of the Case
The petitioner, Deputy Commissioner of State Tax (ST), acting as the jurisdictional authority under the CGST Act and the Andhra Pradesh GST Act, initiated proceedings against the assessee, pursuant to an assessment order raising a tax demand. Before that, the petitioner provisionally attached the assessee’s bank account and issued a recovery notice. The attachment and recovery orders were revoked requiring the assessee to maintain specified funds in its bank account pending disposal of the appeal. The assessee approached the High Court, which directed release of the attached amounts subject to the filing of an undertaking to retain the refunded sum and maintain a prescribed balance until final adjudication. Aggrieved by these directions, the petitioner filed a Special Leave Petition (SLP) before the Hon’ble Supreme Court. The matter was placed before the Hon’ble Supreme Court.
Supreme Court Held
The Hon’ble Supreme Court held that no interference was called for with the order of the High Court, which had permitted revocation of the provisional attachment and refund of the recovered amounts. It was held that the High Court had rightly exercised its jurisdiction by directing the assessee to furnish an undertaking and maintain a prescribed balance in its bank account to safeguard the Department’s interest during the pendency of the appeal under section 107 of the CGST Act. It was further observed that the safeguards imposed were consistent with statutory requirements. Accordingly, the dismissed the SLP and directed that the amount retained in the assessee’s bank account shall remain unaltered.
List of Cases Reviewed
- Wingtech Mobile Communications (India) (P.) Ltd. v. Deputy Commissioner ST [2025] 178 taxmann.com 332 (Andhra Pradesh) (Para 2) – SLP disposed of
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