In WPA 3415 OF 2022-CAL HC- In terms of Rule 138A of CGST Rules, 2017 invoice has to be carried in physical form, clarifies Calcutta HC 
Justice Aniruddha Roy [03-04-2023]

 

Read Order: J. K. Jain Buildtech India Pvt. Ltd v. Assistant Commissioner, Revenue  Bureau of Investigation North Bengal Head Quarter  Siliguri & Ors 

Tulip Kanth

Jalpaiguri, April 4, 2023: While allowing the petitioner-assessee to produce the relevant invoices in physical form, the Calcutta High Court has reaffirmed that provision in a taxing statute has to be construed strictly and no benevolent interpretation is available while construing taxing statute.

The petitioner had approached the Single–Judge Bench of Justice Aniruddha Roy challenging the impugned order passed by the statutory appellate authority presided over by the Joint Commissioner, State Tax, Siliguri.

The petitioner’s Counsel referred to Rule 138A of the Central Goods and Services Tax Rules, 2017 and submitted that sub-Rule (1)(a) does not provide for production of the relevant invoice in physical form and whenever a person-in-charge of the conveyance carries the same, even in a electronic/digital form or in his mobile or in such devices carried by him, the same would suffice and the authority could not have claimed for production of the invoice in physical form. 

On the contrary, the respondents submitted that from a reading of the provision laid down under sub-Rule 138A, it would be evident that, the person-in-charge of the conveyance/vehicle should carry the invoice also in physical form for verification by the respondent authority, if required. Since in the instant case, the person-in-charge of the concerned conveyance was not carrying the invoice in physical form, the appeal was rightly rejected, it was further contended.

From a plain reading of the said provision, it appeared to the Bench that the expression used in the heading of the Rule 138A is clear that documents and devices to be carried by a person-in-charge of the conveyance which included under sub-Rule (1)(a), the invoice

The Bench also clarified, “When the said provision specifically provided for that documents and devices to be carried by the person-in-charge of a conveyance including the invoice, this clearly means that the invoice has to be carried in physical form and if required shall be produced in its physical form.”

Considering the issue involved in this writ petition, the Bench was of the firm opinion that an opportunity may be given to the petitioner to produce the relevant invoice/invoices before the statutory appellate authority, i.e., the second respondent before taking a final decision on the issue to subserve justice to the petitioner also.

Setting aside the impugned decision of the appellate authority, the Bench ordered the appellate authority to revisit the issue in the event the petitioner produces the relevant documents and/or the invoice/invoices in physical form before it strictly in accordance with law.

The Bench further made it clear that in the event the petitioner chooses not to produce the said relevant materials/documents in physical form before the appellate authority, as directed above, the said order of the appellate authority would revive to its force and operate in its full force without any fetter, without any reference to this Court.