2025 (3) TMI 834 - HC - GST

Violation of principles of natural justice - assessment orders impugned have been passed without granting a personal hearing - HELD THAT - The impugned orders and the orders in Form GST DRC-07 dated 30.10.2023 and 21.04.2024 (Annexure P-5 series) respectively are set aside on violation of the statutory mandate for notice of personal hearing and the matter is remitted to the Assessing Officer directing the assessee to appear before the Assessing Officer on 15.01.2025. If he appears on the date notified or on a date once adjourned the Assessing Officer after hearing the assessee shall pass orders within three months from the date of this judgment or within the limitation period provided if not expired whichever falls later. Petition disposed off.

Summary

The Patna High Court, presided over by the Chief Justice and Justice Partha Sarthy, addressed the issue of limitation in the context of GST assessments in the case of M/s Barhonia Engicon Private Limited v. The Union of India and others. The petitioner argued that the assessment orders were issued without a personal hearing, violating Section 75(4) of the GST enactments. The court found merit in this argument, setting aside the impugned orders, including those in Form GST DRC-07 dated 30.10.2023 and 21.04.2024, due to non-compliance with the statutory requirement for a personal hearing. The case was remitted to the Assessing Officer, with instructions for the petitioner to appear on 15.01.2025. The Assessing Officer is required to issue a decision within three months from the judgment date or within the applicable limitation period, whichever is later. The writ petitions were disposed of following these directions.