Telangana HC Allows GST Appeal Without Pre-Deposit in Mercedes Benz Case – A Significant Relief for Taxpayers

In the recent case of M/s Mercedes Benz India Pvt Ltd. vs. State of Telangana [TS-679-HC(TEL)-2024], the Hon’ble Telangana High Court gave relief to the taxpayer from the condition of pre-deposit for appeal before the Appellate Authority. The petitioner had already paid IGST but the department issued him show cause notice, in respect of the same transaction, demanding payment of CGST and SGST. The Court exercised its extraordinary powers to allow petitioner to file appeal against the order of adjudicating authority, while acknowledging that there is no such enabling provision with the appellate authority to give such exemption.