2024 (9) TMI 982 - HC - GST

Violation of principles of natural justice - petitioner did not have a reasonable opportunity to contest the tax demand on merits - impugned order were uploaded in the view additional notices and orders tab of the GST portal - discrepancy between the petitioner's GSTR 3B return and the auto populated GSTR 2A - HELD THAT - On examining the impugned order, it is clear that the tax demand pertains to discrepancy between the petitioner's GSTR 3B return and the auto populated GSTR 2A. It is also evident that such order was issued because the petitioner did not reply to the show cause notice or participate in proceedings. In these circumstances, it is just and appropriate that the petitioner be provided such opportunity albeit by putting the petitioner on terms. The impugned order dated 04.05.2023 is set aside subject to the condition that the petitioner remits 10% of the disputed tax demand within a period of three weeks from the date of receipt of a copy of this order. With in the aforesaid period, the petitioner is permitted to submit a reply to the show cause notice - petitin disposed off.

Summary

The High Court of Madras set aside the order dated 04.05.2023, allowing the petitioner to contest the tax demand by remitting 10% of the disputed amount within three weeks. The petitioner must reply to the show cause notice, and upon satisfaction of the remittance, the respondent will provide a reasonable opportunity, including a personal hearing, and issue a fresh order within two months. Case W.P.No.9363 of 2024 is disposed of with no costs.