2024 (5) TMI 1383 - HC - GST

Order u/s 73 of the Central Goods and Services Tax Act, 2017 - petitioner submits that the impugned order was passed even prior to the stipulated date of filing the response to the show cause notice - HELD THAT - Perusal of the details of personal hearing and due dates for filing of replies, as contained in the show cause notice dated 05.12.2023 shows that reply was to be submitted by 05.01.2024. Even before the due date for filing reply, the impugned order dated 29.12.2023 has been passed creating a demand against the petitioner - Clearly, the proper officer could not have adjudicated the show cause notice even prior to the stipulated date for filing response. The matter is remitted to the proper officer for re-adjudication of the show cause notice. Petitioner shall file response to the said Show Cause Notice within 30 days. Thereafter, the proper officer shall adjudicate the show cause notice in accordance with law after giving an opportunity of personal hearing to the petitioner. The Show Cause Notice be disposed of within three months of filing of response by the petitioner. Petition disposed off by way of remand.

Summary

Issues involved: Impugning an order, passing order before due date for response, lack of personal hearing opportunity, remittance for re-adjudication, challenge to notification, reservation of rights and contentions.

In the present case, the petitioner challenged an order dated 29.12.2023, which adjudicated a show cause notice dated 05.12.2023 before the stipulated date for filing a response. The petitioner contended that the order was passed prematurely. The show cause notice was issued under Section 73 of the Central Goods and Services Tax Act, 2017, with specific dates for response submission and personal hearing, which were not adhered to by the proper officer. The High Court noted that the impugned order was unsustainable and quashed it, emphasizing that the officer should not have adjudicated the matter before the due date for the response. Furthermore, the court observed that the petitioner was not granted an opportunity for a personal hearing as per the notice, leading to the remittance of the matter to the proper officer for re-adjudication. The petitioner was directed to file a response within 30 days, and the officer was instructed to adjudicate the show cause notice within three months of the response, ensuring a personal hearing for the petitioner. The court also left open the challenge to notification No. 9/2023 regarding an initial extension and clarified that it did not comment on the merits of the parties' contentions, reserving all rights and contentions. Ultimately, the petition was disposed of accordingly.