{"id":7617,"date":"2026-01-15T17:42:40","date_gmt":"2026-01-15T12:12:40","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=7617"},"modified":"2026-01-15T17:42:40","modified_gmt":"2026-01-15T12:12:40","slug":"gst-interest-on-delayed-payment-upheld-writ-dismissed-hc","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/gst-interest-on-delayed-payment-upheld-writ-dismissed-hc","title":{"rendered":"GST Interest On Delayed Payment Upheld Writ Dismissed | HC"},"content":{"rendered":"<pre><strong>Case Details:<a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/gst\/101010000000414857\/writ-petition-challenging-interest-on-belated-gst-payment-dismissed-appeal-to-be-decided-on-20-deposit-hc\"> <span class=\"TextRun SCXW146760107 BCX0\" lang=\"EN-IN\" xml:lang=\"EN-IN\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW146760107 BCX0\" data-ccp-parastyle=\"Body-All Documents\" data-ccp-parastyle-defn=\"{&quot;ObjectId&quot;:&quot;f54e3151-7552-5563-bc14-dd1598e94375|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[469775450,&quot;Body-All Documents&quot;,201340122,&quot;2&quot;,134234082,&quot;true&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocuments&quot;,335572020,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777844,&quot;Book Antiqua&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,335559740,&quot;280&quot;,201341983,&quot;1&quot;,335559739,&quot;0&quot;,335551550,&quot;6&quot;,335551620,&quot;6&quot;,469777929,&quot;Body-All Documents Char&quot;,201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777843,&quot;Calibri&quot;,201341986,&quot;1&quot;,268442635,&quot;24&quot;]}\" data-ccp-parastyle-linked-defn=\"{&quot;ObjectId&quot;:&quot;d1cb5994-2cf1-5883-8af4-faa182bd9769|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777843,&quot;Calibri&quot;,469777844,&quot;Book Antiqua&quot;,201341986,&quot;1&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,268442635,&quot;24&quot;,469775450,&quot;Body-All Documents Char&quot;,201340122,&quot;1&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocumentsChar&quot;,335572020,&quot;1&quot;,134231262,&quot;true&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,469777929,&quot;Body-All Documents&quot;,469778324,&quot;Default Paragraph Font&quot;]}\">Tvl. Sri Balaji Tractors vs. Commercial Tax Officer (ST), Tamil Nadu (2026)\u00a0<\/span><span class=\"NormalTextRun SCXW146760107 BCX0\" data-ccp-parastyle=\"Body-All Documents\">38 Centax 34 (Mad.)<\/span><\/span><span class=\"EOP SCXW146760107 BCX0\" data-ccp-props=\"{&quot;201341983&quot;:1,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:0,&quot;335559740&quot;:280}\">\u00a0<\/span><\/a><\/strong><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li><strong>C.Saravanan<\/strong>, J.<\/li>\n<li><strong>Shri K. Narayanan<\/strong>, for the Petitioner.<\/li>\n<li><strong>Shri C. Harsharaj,<\/strong> Special Government Pleader, for the Respondent.<\/li>\n<\/ul>\n<h2><em>Facts of the Case<\/em><\/h2>\n<p>The assessee, being the petitioner, challenged an order confirming interest liability on belated payment of tax and the rejection of an application seeking rectification of the assessment order for re-credit of excess input tax credit that had been reversed by the assessee. The rectification application was rejected on the ground that no documents were furnished to substantiate the claim, against which the assessee filed a statutory appeal that was acknowledged but not decided, leading to the initiation of recovery proceedings, including the attachment of the assessee\u2019s bank account. The assessee thereupon filed the writ petition seeking quashing of the interest demand and related recovery action, contending that the appeal remained undecided despite being duly filed and that the rectification claim was wrongly rejected. The matter was accordingly placed before the High Court.<\/p>\n<h2><em>High Court Held<\/em><\/h2>\n<p>The High Court held that the assessee had approached the writ court only after initiation of recovery proceedings and, therefore, the writ petition was not maintainable insofar as it sought to challenge the order confirming interest on belated payment. The Court examined Section 161 of CGST and the Tamil Nadu GST Act and noted that the assessee had already availed the statutory appellate remedy, which was pending adjudication. Considering the pendency of the appeal and the attachment of the bank account, the Court directed that upon deposit of 20 per cent of the disputed amount in cash within the prescribed period, the appellate authority shall decide the appeal on merits. The Court further directed that upon such deposit, the attachment of the assessee\u2019s bank account shall stand lifted.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: Tvl. Sri Balaji Tractors vs. Commercial Tax Officer (ST), Tamil&hellip;<\/p>\n","protected":false},"author":16,"featured_media":7625,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37,60,189],"tags":[],"class_list":["post-7617","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gst","category-news","category-gst-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>GST Interest On Delayed Payment Upheld Writ Dismissed | HC<\/title>\n<meta name=\"description\" content=\"High Court dismisses writ petition challenging interest on delayed GST payment and directs statutory appeal to be decided on 20% deposit.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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