The court emphasized adherence to procedural due process in rejecting a refund application and allowing for appeal rights under the Karnataka Goods and Services Tax Act, 2017.

S.R.KRISHNA KUMAR, J.

In this petition, petitioner seeks for the following reliefs:-

a. To issue order(s), directions, writ(s) in the nature of Certiorari quashing the Order No. GST/AP-10/2022- 23 dated 21.10.2023 for the period of February 2020 annexed at Annexure-A as being passed without any legal basis;

b. To issue order(s), directions, writ(s) in the nature of Certiorari quashing the Order No.:JCCT/DGSTO- 06/RFD/186/LGSTO-075/2021-22 dated 28.01.2022 along with Endorsement dated 14.02.2022 for the period of February 2020 annexed at Annexure-B as being passed without any legal basis;

c. To issue order(s), directions, writ(s) in the nature of Mandamus holding that the Petitioner is eligible to claim refund in terms of Section 54 of the CGST Act and Rule 89 of the CGST Rules;

d. To issue order(s), directions, writ(s) in the nature of Mandamus holding that the Petitioner has rightly claimed refund in terms of Section 54 while submitting its refund application for excess payment of tax in Form GST RFD-01;

e. To issue order(s), directions, writ(s) or any other relief as this Hon'ble Court deems it fit and proper in the facts and circumstance of the case in the interest of justice.”

2. Heard learned Senior counsel on behalf of the learned counsel for the petitioner and learned HCGP for the respondents and perused the material on record.

3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned Senior counsel for the petitioner invited my attention to the impugned refund rejection order at Annexure-B dated 28.01.2022 along with the screenshot of the status of refund application, which was rejected and accompanying by the endorsement dated 14.02.2022 contending reasons and details as to why refund claim of the petitioner was being rejected by the respondents. Aggrieved by the aforesaid refund rejection order comprising of the order, screenshot and the endorsement, the petitioner filed an appeal before the Appellate Authority, which proceeded to dismiss the appeal as not maintainable since the same was filed against the endorsement and as such, the petitioner is before this Court by way of the present petition.

4. It is submitted that both respondent Nos.1 and 2 i.e., the Original Authority and the Appellate Authority, respectively, committed an error in rejecting the refund applications of the petitioner, without taking into account the relevant provisions of KGST Act as well as the following judgments:

(i) Nam Estates Pvt. Ltd. Vs. Joint Commissioner of Commercial Taxes (Appeals-I), Bengaluru – 2024 (87) G.S.T.L. 398 (Kar.).

(ii) Joint Commissioner of Commercial Taxes (Appeals-1)Vs. Nam Estates Pvt. Ltd. – 2025 (96) G.S.T.L. 579 (Kar).

(iii) Commr. Of C.Ex. (Appeals), Bangalore Vs. KVR Construction – 2012 (26) S.T.R. 195 (Kar.).

(iv) Parijat Construction Vs. Commissioner of Central Excise, Nashik reported at 2018 (359) E.L.T. 113(Bom)

(v) 3E Infortech vs. CESTAT Chennai – 2018 (18) G.S.T.L.410 (Mad.).

(vi) Siemens Ltd. Vs. Joint Commissioner of State Tax –(2024) 22 Centax 513 (Bom.).

It is therefore submitted that the impugned order deserves to be set aside and the refund application filed by the petitioner, deserves to be allowed.

5. Per contra, learned HCGP would reiterate the various contentions urged in the Statement of Objections as well as in the written submissions and submits that there is no merit in the petition and that the same is liable to be dismissed.

6. Before adverting the rival submissions, it is necessary to extract the refund rejection order, the screenshot showing refund rejection and the endorsement, which are hereunder:

“GOVERNMENT OF KARNATAKA

(DEPARTMENT OF COMMERCIAL TAXES)

The Karnataka Goods and service Tax Act, 2017 and

Central Goods and Service Tax Act, 2017

No.JCCT/DGSTO-06/RFD/186/LGSTO-075/2021-22

OFFICE OF THE

Assistant Commissioner of Commercial Taxes,

LVO-075, KIADB Building, Peenya

Industrial Area, 2nd stage, Bangalore – 560058