2022 (10) TMI 783 - HC - GST

Validity of adjudication order - jurisdiction of the adjudicating authority - HELD THAT - The adjudication order dated 20.05.2022 is set aside - The concerned officer will commence proceedings de novo, which would logically mean that a fresh show-cause notice, by a proper officer, will be issued, bearing in mind the aforementioned Circular dated 20.09.2022. The writ petition is disposed of.

Summary

Issues: Setting aside an adjudication order based on a circular, jurisdictional issues under the Central Goods and Services Tax Act, 2017

In this judgment delivered by the Delhi High Court, the petitioner sought interim relief against an adjudication order dated 20.05.2022, emanating from a show-cause notice dated 08.02.2022. The petitioner's counsel indicated that the relief sought was confined to a specific prayer clause. The court noted a similar case where an adjudication order was quashed based on a circular issued by the respondent/revenue on 20.09.2022. The respondent's counsel acknowledged that the fate of the present matter would be the same. Consequently, the court set aside the adjudication order dated 20.05.2022, directing the concerned officer to commence proceedings de novo, implying the issuance of a fresh show-cause notice by a proper officer in line with the circular. The writ petition was disposed of accordingly, with the petitioner granted the liberty to raise jurisdictional issues before the adjudicating authority. The petitioner referred to Section 6(2)(b) of the Central Goods and Services Tax Act, 2017, regarding jurisdiction, which the adjudicating officer was instructed to consider. Pending applications were ordered to be closed.

This judgment primarily revolves around the setting aside of an adjudication order due to the provisions of a circular issued by the respondent/revenue, similar to a previous case. The court emphasized the need for fresh proceedings following the circular's guidelines. Additionally, the judgment addresses the petitioner's liberty to raise jurisdictional issues before the adjudicating authority, with specific reference to Section 6(2)(b) of the Central Goods and Services Tax Act, 2017. The decision ensures that the adjudication process adheres to legal provisions and grants the petitioner an opportunity to challenge jurisdictional aspects. The judgment reflects a meticulous approach to resolving the matter while upholding procedural fairness and legal principles.