IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE NARSING RAO NANDIKONDA W.P.No.2078 OF 2026

16.02.2026 Between:

M/s Hyderabad Bottling Company Private Limited, Rep. by its Managing Director, Mr. Jasti Seshagiri Rao …Petitioner A N D Commercial Tax Officer (CT), (Presently known as Assistant Commissioner (ST)), Srinagar Colony Circle, Punjagutta Division, Hyderabad and 6 others …Respondents ORDER : (per Hon’ble Sri Justice P.Sam Koshy)

Heard Mr.K.P.Amarnath Reddy, learned counsel for the petitioner, Mr. T.Chaitanya Kiran, learned Assistant Government Pleader representing Mr. Swaroop Oorilla, learned Special Government Pleader for the State Tax for respondent Nos.1 to 6 and Mr. Mohammed Hussain, learned Government Pleader for Finance and Planning for respondent No.7. Perused the record.

2. The matter pertains to the petitioner’s claim for refund under the Andhra Pradesh General Sales Tax Act, 1957 (for short ‘the APGST Act’). The claim for refund fructified in favour of the petitioner on 15.02.2023. The petitioner waited for a statutory six months period within which the department ought to had made the refund. However, when it was not done for almost two and half years, the petitioner was compelled to file the present writ petition for an appropriate writ of Mandamus directing the respondents to release the payment of refund.

3. On the previous date of hearing, the learned Assistant Government Pleader for the State Tax as also the learned Assistant Government Pleader for Finance and Planning sought for a weeks’ time in ascertaining the payment of refund to be made to the petitioner.

4. Today, when the matter is taken up for hearing, Mr. Mohammed Hussain, learned Government Pleader for Finance and Planning informs the Court that in this case, the token for release of refund was already issued in the year 2024 and appropriate steps have been taken to ensure that the refund is credited to the account of the petitioner today i.e. 16.02.2026. He has also brought the report received through WhatsApp from the Finance Department where the refund has already been processed and in all likelihood, it would be credited to the account of the petitioner during the course of the day.

5. However, what is reflected is that the amount of refund released is only the principal amount of Rs.53,46,343/- whereas in terms of the statute governing the field i.e., Section 33F of the APGST Act, the petitioner would be entitled to interest on the delayed payment of refund at the rate of 1% per month i.e., 12% per annum for which there is no requirement of any adjudication separately required for the release of the same and the said computation of interest component also has to be done by the department along with the steps taken for release of the principal amount itself. However, there does not seem to be any good ground available with the respondents for not doing so simultaneously when proceedings were drawn to release the principal amount. Since the statute provides for payment of interest on the delayed releasing of refund, we see no reason why the petitioner should be denied the interest which is otherwise protected under the statute itself. We do not intend to keep the writ petition pending only on this count. We are inclined to dispose of the writ petition with a direction to the respondents so far as calculation of interest on the principal amount of Rs.53,46,343/- is concerned from 15.08.2023 i.e., from the date of completion of six months period from 15.02.2023 till today i.e., 16.02.2026 i.e., for a period of two and half years exactly.

6. Let the computation be done forthwith and the entire interest amount payable be also released to the petitioner within a period of two weeks. The aforesaid direction of payment of interest has to be done within a period of two weeks for the reason that it ought to had been done by the respondents simultaneously with the principal amount