- 1 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 7TH DAY OF FEBRUARY, 2025 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 100574 OF 2025 (GM-RES) BETWEEN: SHRI. RAVINDRA S/O. RAMACHANDRARAO MANE, AGE. 64 YEARS, OCC. CLASS-I CONTRACTOR, RESIDING AT LAXMI KUNJ, NEAR RAILWAY STATION, BHAGWAN MAHAVEER ROAD, BAGALKOT -587103. …PETITIONER (BY SRI SHIVARAJ S. BALLOLI, ADVOCATE) AND: 1. THE GOVERNMENT OF KARNATAKA, PUBLIC WORKS AND INLAND WATER TRANSPORT DEPARTMENT, VIDHAN SOUDHA, AMBEDKAR VEEDHI BENGALURU -560001, REPRESENTED BY ITS SECRETARY. 2. THE EXECUTIVE ENGINEER, NATIONAL HIGHWAY DIVISION, PUBLIC WORKS DEPARTMENT, VISHWESHWAR NAGAR, HUBLI -580032. 3. THE EXECUTIVE ENGINEER, UPPER KRISHNA PROJECT REHABILITATION DIVISION NO.2, ALMATTI -586201. Digitally signed by VISHAL NINGAPPA PATTIHAL Location: High Court of Karnataka, Dharwad Bench - 2 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 4. THE EXECUTIVE ENGINEER, PUBLIC WORKS DEPARTMENT, NAVANAGAR, BAGALKOT -587103. …RESPONDENTS (BY SRI SHARAD V. MAGADUM, AGA) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 AND 227 OF THE CONSTITUTION OF INDIA IS PRAYING TO, ISSUE A WRIT OF CERTIORARI QUASHING THE IMPUGNED ENDORSEMENT DATED 17/12/2024 ADDRESSED BY RESPONDENT NO.2 BEARING NO.ENH/HBL/AB-1/CRF- 1800/2024-25/1988 VIDE ANNEXURE-H. ISSUE A WRIT OF MANDAMUS DIRECTING RESPONDENTS TO PAY TO THE PETITIONER THE APPLICABLE BALANCE GST AMOUNT PAYABLE BY RESPONDENTS AS DETAILED BY THE PETITIONER IN REPRESENTATIONS DATED 05/11/2019 AND 11/11/2024 VIDE ANNEXURE-B, C, D, E, F AND G ALONG WITH THE ACCRUED INTEREST THEREON AT THE RATE OF 18 PERCENT PER ANNUM FROM THE DATE OF PAYMENT OF THE GST AMOUNT BY THE PETITIONER TILL THE DATE OF ACTUAL REALISATION OF THE SAME BY RESPONDENTS. PASS ANY OTHER ORDER(S) AS THIS HON’BLE COURT MAY DEEM FIT IN THE INTEREST OF JUSTICE AND EQUITY. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 ORAL ORDER (PER: THE HON'BLE MR. JUSTICE M.NAGAPRASANNA) 1. The petitioner is before this Court seeking the following prayer: “i. To issue a writ of certiorari quashing the impugned endorsement dated 17/12/2024 addressed by respondent No.2 bearing No.ENH/HBL/AB-1/CRF- 1800/2024-25/1988 vide Annexure-H. ii. To issue a writ of mandamus directing respondents to pay to the petitioner the applicable balance GST amount payable by respondents as detailed by the petitioner in representations dated 05/11/2019 and 11/11/2024 vide Annexure-B, C, D, E, F and G along with the accrued interest thereon at the rate of 18 percent per annum from the date of payment of the GST amount by the petitioner till the date of actual realisation of the same by respondents. iii. Pass any other orders as this Hon’ble Court may deem fit in the interest of justice and equity.” 2. The learned counsel for the petitioner submits and the respondent-State admits that the issue in the lis stands covered by the judgment rendered by the Coordinate Bench in Writ Petition No.9721/2019 and - 4 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 connected matters, disposed on 11.04.2023, wherein the Coordinate Bench has held as follows: “(i) Petitions are hereby disposed of. (ii) The Respondents-State and other Govt agencies / Respondents who have entered into works contract with the Petitioners are issued the following directions / guidelines:- (a) Calculate the works executed pre-GST (prior to 01.07.2017) under KVAT regime and payments received by the Petitioners. (b) The payments received by the Petitioners pre-GST for such of the works executed before 01.07.2017 are to be assessed under KVAT tax regime – either under COT or VAT scheme as applicable. (c) Calculate the balance works to be completed or completed after 01.07.2017, in the original contract. (d) Derive the rate of materials, KVAT items required or used to complete the balance works. (e) Deduct the "KVAT" amount from those materials and the service tax, if applicable. (f) Add the applicable "GST" on those items. (g) Input Credit on the materials is to be arrived at and be set off as against the output GST, for those assessed under regular VAT. (h) Further, the “tax difference” should be calculated on such balance works executed or to be executed after 01.07.2017 separately. (i) Based on the result obtained on calculation of the tax difference on the contract value, concerned department/authority has to - 5 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 decide whether agreement needs to be changed or not. (j) A supplementary agreement may be signed with the Petitioners for the revised GST- inclusive work value for the Balance Work completed or to be completed as determined above and in case the revised GST-inclusive work value for the Balance Work, completed or to be completed after 01.07.2017, is more than the original agreement work value, the Petitioners are to be paid /reimbursed, as the case may be, the differential tax amount by the concerned employer; so also, in case payments for works completed pre-GST are made postGST, the concerned employer has to pay or reimburse, as the case may be, the differential tax amount, to the Petitioners. (iii) Petitioners are directed to submit comprehensive representations to the respective employers/Respondents within a period of 4 weeks from the date of receipt of a copy of this order, irrespective of whether they have completed the works pre-GST or post-GST or payments were received or yet to be received post-GST. (iv) If such representations are submitted, the respective employers/Respondents are directed to consider and dispose of the same in the light of the aforesaid directions / guidelines as expeditiously as possible and at any rate within a period of 8 weeks from the date of submission of the representations. (v) In view of the interim orders passed by this Court in the present petitions, such of the petitioners who had not filed their GST returns during the period after 01.07.2017 are permitted to file their returns / amended returns, pursuant to the calculation of the differential tax as per procedure above under GST regime, without insisting on interest or penalty or limitation. (vi) The GST authorities are also directed not to take precipitative action against the Petitioners for a - 6 - NC: 2025:KHC-D:2478 WP No. 100574 of 2025 period of 6 months from the date of receipt of a copy of this order. (vii) Liberty is reserved in favour of the petitioners to challenge any order / decision passed / taken by the respondents or the authorities, subsequent to this order and also take recourse to such remedies as available in law.” 3. Another Coordinate Bench follows the said judgment and disposes the petition. Therefore, the petition deserves to succeed with the same relief and the same directions as is rendered by the Coordinate Bench (supra). Ordered accordingly. Sd/- (M.NAGAPRASANNA) JUDGE KGK List No.: 1 Sl No.: 40