2023 (9) TMI 1358 - HC - GST

Validity of summary report - goods transported without valid documents - excess ITC claimed - HELD THAT - In light of what is stated in the affidavit, wherein it is stated by the deponent that he may be permitted to withdraw the order at page 20, the summary report dated 21.02.2019 is hereby quashed and set aside with the aforesaid liberty. The petition is partly allowed.

Summary

Issues involved: Challenge to orders dated 21.02.2019 and 14.11.2018 issued u/s Rule 142(5) of the Central Goods & Service Tax Rules, 2017.

Challenge to Order dated 14.11.2018:
- Facts: The petitioner is a Limited Liability Partnership engaged in manufacturing and supply of pipes and related products. The order dated 14.11.2018 was pertaining to mobile checking at Dastan Circle at S.P. Ring Road, where goods were found to be transported without valid documents.
- Submission: The petitioner's counsel argued that the demand in the order was passed without any prior demand notice, show cause notice, or order issued to the petitioner.
- Response: The Assistant Commissioner stated that a show cause notice was issued on 1.10.2018, and upon payment of tax and penalty by the petitioner, the goods were released on the same day. As a result, the challenge to this order was withdrawn by the petitioner.

Challenge to Order dated 21.02.2019:
- Facts: The State Tax Officer passed an order on 21.02.2019 under Gujarat Goods and Services Act 2017, related to excess ITC claimed by the petitioner.
- Submission: The State Tax Officer acknowledged a technical glitch in issuing the show cause notice, leading to the order being passed without proper communication of grounds to the petitioner.
- Decision: The Court quashed and set aside the summary report dated 21.02.2019, allowing the State to withdraw the order to pass a fresh show cause notice with proper procedure. The petition was partly allowed in this regard, and the rule was made absolute to this extent.

This summary captures the key issues, facts, submissions, and outcomes of the legal judgment rendered by the Gujarat High Court in response to the challenges raised by the petitioner against the orders dated 14.11.2018 and 21.02.2019 under the Central Goods & Service Tax Rules, 2017.