Facts of the Case
The petitioner challenged
the:
- Show
Cause Notice dated 27.09.2023
- Reminder
Notice dated 10.11.2023
- Assessment
Order dated 20.11.2023
The dispute pertained to
GST demand for the period July 2017 to March 2018.
The petitioner contended
that:
- The
notices were uploaded only under the “Additional Notices” tab on the GST
portal.
- The
petitioner had no knowledge of such notices.
- No
reply was filed and no personal hearing was attended.
- The order was passed ex-parte, resulting in tax demand, interest, and penalty.
Issues Involved
- Whether
uploading SCN under the “Additional Notices” tab amounts to valid service?
- Whether
passing an ex-parte GST order without proper notice violates principles of
natural justice?
- Whether
the petitioner is entitled to a fresh opportunity of hearing?
- Whether validity of notifications issued under Section 168A CGST Act needs adjudication?
Petitioner’s Arguments
- The
SCN and reminder were not effectively served.
- Uploading
notices in a non-prominent tab deprived the petitioner of knowledge.
- No
personal hearing opportunity was granted.
- The entire adjudication is void for violation of natural justice.
Respondent’s Arguments
- Notices
were duly uploaded on the GST portal.
- The
petitioner failed to respond despite availability of notices.
- Proper procedure under GST law was followed.
Court’s Findings / Order
- The
Court held that:
- The petitioner was denied a meaningful
opportunity of hearing.
- Notices uploaded only under “Additional
Notices” tab were not effectively communicated.
- Order:
- The impugned assessment order was set aside.
- Matter remanded to adjudicating authority.
- Petitioner allowed to file reply and be
heard.
- Fresh order to be passed after due process.
Important Clarifications
- Effective
service of notice is mandatory in GST proceedings.
- Digital
upload must ensure actual and reasonable visibility.
- Absence
of personal hearing renders adjudication invalid.
- Validity of Section 168A notifications was kept open, subject to Supreme Court decision.
Sections / Provisions
Involved
- Article
226 & 227 of the Constitution of India
- Section
73, CGST Act, 2017 (Determination of tax)
- Section
168A, CGST Act, 2017 (Extension of time limits)
- Principles of Natural Justice (Audi Alteram Partem)
Link to download the order
- https://delhihighcourt.nic.in/app/showFileJudgment/75424122025CW197702025_180129.pdf
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