2019 (1) TMI 677 - HC - GST

Principles of Natural Justice - right to appeal denied on the ground that no such Appellate Forum has been notified by the State of Himachal Pradesh - Held that - The aggrieved party cannot be left remedy less merely because the State Government has not notified the Appellate Forum - The petitioner may, if so advised, file an appeal within one week from the date the Appellate Forum is notified. Till such time, no coercive action be taken against the petitioner. It is clarified that we have not expressed any views on merits. - petition disposed off.

Summary

Issues:
1. Validity of the order passed by the Assistant Commissioner, State Taxes and Excise, holding the petitioner company guilty of suppressing Gross Turn Over.
2. Absence of a notified Appellate Forum by the State of Himachal Pradesh.
3. Allegations of violation of principles of natural justice and fair play.
4. Competence of the Authority passing the impugned order.

Analysis:
1. The petitioner challenged the order passed by the Assistant Commissioner, State Taxes and Excise, holding them guilty of suppressing Gross Turn Over and imposing SGST and penalty. The petitioner contended that the order was appealable under Section 107 of the Central Goods and Services Tax Act, 2017, but no Appellate Forum had been notified by the State of Himachal Pradesh, leading to the filing of the Writ Petition. Various contentions on merits and violation of natural justice were raised, questioning the competence of the Authority.

2. The Senior Additional Advocate General argued that the Assistant Commissioner had the authority to pass the order and that the petitioner's representatives were adequately heard, denying any violation of natural justice. However, he acknowledged the absence of a notified Appellate Forum. The Court noted that the absence of an Appellate Forum should not render the aggrieved party remedy less, directing the State to notify the Appellate Forum within one week to allow the petitioner to file an appeal within the same period, with a stay on coercive action until then.

3. The Court emphasized that no coercive action should be taken against the petitioner until the Appellate Forum is notified, clarifying that their decision did not express any views on the merits of the case. The Writ Petition was disposed of with the direction to notify the Appellate Forum promptly, ensuring the petitioner's right to appeal is upheld.

4. The judgment highlighted the importance of providing a legal remedy through an Appellate Forum as contemplated by the Statute, ensuring that parties are not left without recourse due to the absence of such a forum. The Court's decision aimed to safeguard the petitioner's rights and ensure a fair opportunity for appeal, maintaining the principles of natural justice and fair play throughout the legal process.