2024 (10) TMI 1528 - HC - GST

Violation of principles of natural justice - lack of knowledge of proceedings originating in the intimation - notices were uploaded in the 'view additional notices and orders' tab of the GST portal - no reasonable opportunity to contest the tax demand - petitioner agrees to remit 10% of the disputed tax demand as a condition for remand - HELD THAT - Since the documents on record indicate clearly that the petitioner was not heard before the impugned order was issued, it is just and appropriate that an opportunity be provided to the petitioner albeit by putting the petitioner on terms. The impugned order dated 09.09.2023 is quashed subject to condition that the petitioner remits 10% of the disputed tax demand within two weeks from the date of receipt of a copy of this order. The petitioner is also permitted to submit a reply to the show cause notice with in the aforesaid period - Petition disposed off by way of remand.

Summary

The High Court of Madras quashed an order dated 09.09.2023 due to lack of natural justice principles. The petitioner, a registered person under GST, was not given a proper opportunity to contest a tax demand. The court ordered the petitioner to remit 10% of the disputed tax demand and allowed them to submit a reply to the show cause notice. The respondent must then provide a reasonable opportunity to the petitioner, including a personal hearing, and issue a fresh order within two months. Case W.P.No.8181 of 2024 was disposed of with no costs.