2024 (9) TMI 812 - HC - GST

Challenge to assessment order on the ground that the petitioner did not have a reasonable opportunity to contest the tax demand on merits - order was uploaded on the View Additional Notices and Orders tab on the GST portal and not communicated to the petitioner through any other mode - discrepancy between the petitioner's GSTR 3B returns and the auto-populated GSTR 2A returns - HELD THAT - On perusal of the impugned order, it is evident that the tax proposal was confirmed because the petitioner did not file objections or participate in the personal hearing. The petitioner has asserted that he would be in a position to explain the discrepancy between the GSTR 3B and 2A returns if provided an opportunity. In these circumstances, it is just and appropriate that an opportunity be provided to the petitioner by putting the petitioner on terms. The order impugned herein is set aside and the matter is remanded to the first respondent for reconsideration subject to the condition that the petitioner remits 10% of the disputed tax demand as agreed to with in a period of fifteen days from the date of receipt of a copy of this order - Petition disposed off.

Summary

The High Court of Madras set aside the assessment order challenged in a writ petition due to lack of reasonable opportunity for the petitioner to contest the tax demand on merits. The matter is remanded to the first respondent with the condition that the petitioner remits 10% of the disputed tax demand within fifteen days. The petitioner can submit a reply to show cause notices within this period, and upon satisfaction of the remittance, the first respondent must provide a reasonable opportunity to the petitioner, including a personal hearing, and issue a fresh order within two months. The bank attachment pursuant to the impugned assessment order is lifted. Case W.P.No.10972 of 2024 is disposed of with no costs, and related motions are closed.