2024 (10) TMI 276 - HC - GST

Challenge to impugned order passed by the respondent - mismatch between GSTR 3B with that of GSTR-1 for the year 2017-18 - service of SCN - opportunity of personal hearing - Violation of principles of natural justice - HELD THAT - In the instant case, it is seen that notice was issued by the respondent but however, the petitioner did not receive the same. On going through the impugned order, it is seen that a total tax liability of Rs. 2,96,544/- has been imposed against the petitioner. The petitioner has come up with a clear case that there are sufficient materials/documents to substantiate the defense of the petitioner to the effect that there was no mismatch between GSTR3B and GSTR-1. This Court had an occasion to deal with a similar issue in Sri Ganesa Engineering Enterprises 2024 (10) TMI 125 - MADRAS HIGH COURT . This Court wanted to afford an opportunity to the petitioner therein by putting the petitioner on terms. In order to maintain consistency, a similar order can be passed in this writ petition also. In the light of the above discussion, the impugned order passed by the respondent in Reference Number in GSTIN 33AAMFR9785P1Z1/2017-18 dated 20.12.2023, is hereby set aside. The matter is remanded back to the file of the respondent for fresh consideration on condition that the petitioner will pay 20% of the disputed tax amount to the respondent within a period of four weeks from today. If this condition is not complied with, the order passed by the respondent will stand automatically revived. On compliance with the said condition, the petitioner will file their reply/objection along with all the relevant documents within a period of two weeks thereafter. Petition allowed.

Summary

The High Court of Madras set aside the impugned order in a GST case and remanded it back to the respondent for fresh consideration. The petitioner must pay 20% of the disputed tax amount within four weeks, comply with conditions, and submit relevant documents. Failure to comply will revive the original order. The respondent must issue a fresh notice, provide a personal hearing, and pass final orders within three months. The writ petition was allowed with these directions, and no costs were awarded.