9911796707
TMI Blog2023 (6) TMI 1188X X X X Extracts X X X X X X X X Extracts X X X X ..... 4 and thus, the connection or nexus, in my considered view, has been clearly established. The annexures filed along with DRC 01A reveal the identity of the allegedly non-existent suppliers as M/s.Baby Suba Company as well as the details of transactions inter se and thus, the petitioner is well aware of the specifics of the proposal and is conscious of the fact that the show-cause notice relates to, and is in continuation of the earlier proceedings. The procedure adopted aligns with the statutory scheme of the Act as well. The petitioner states that (i) it is aware of the issue raised relating to allegedly fraudulent purchases made from M/s.Baby Suba and Company, Chennai and (ii) further, that it was in possession of documents to establish t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in short, 'Act'). The petitioner had challenged an order of assessment passed under the provisions of Section 74 of the Act in GST DRC 07 dated 12.04.2023. 3. The grounds raised and argued by learned counsel for the petitioner are that the impugned order of assessment is grossly in violation of principles of natural justice. According to the petitioner, the respondent had initially received a notice under DRC 01A dated 23.01.2023. That notice issued by the same officer had computed tax, interest and penalty under the provisions of the CGST and SGST Act for the period August, 2017 to September, 2017 and had called upon the petitioner to remit the same on the ground that the demand related to fraudulent availment of Input Tax Credit ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ings initiated under notice in DRC 01A dated 23.01.2023. In fact, that notice under DRC 01A has itself been issued under threat of further proceedings under Section 74 and thus, the connection or nexus, in my considered view, has been clearly established. The annexures filed along with DRC 01A reveal the identity of the allegedly non-existent suppliers as M/s.Baby Suba Company as well as the details of transactions inter se and thus, the petitioner is well aware of the specifics of the proposal and is conscious of the fact that the show-cause notice relates to, and is in continuation of the earlier proceedings. The procedure adopted aligns with the statutory scheme of the Act as well. 8. The petitioner, by way of interim reply dated 09.02.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o the purchases made from M/s. Baby Suba and Company, Chennai. Thus, even at this stage, the petitioner has revealed clearly its mind and the knowledge that the proceedings related to purchases from M/s. Baby Suba and Company. 12. That apart, in written instructions dated 19.06.2023, a copy of which has been supplied to the learned counsel for the petitioner as well, the officer states that the notices issued on 31.01.2023 and 09.02.2023 had been accompanied by details of invoices relating to purchases stated to have been made from M/s. Baby Suba and Company, Chennai. This was followed by a summary of show-cause notice in Form GST DRC 01 in terms of Rule 142 (1), dated 31.01.2023. 13. These two events reinforce categorically, to my mind, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... input tax credit. The above documents would be filed before you at the time of personal hearing. 14. Thus, the petitioner states that (i) it is aware of the issue raised relating to allegedly fraudulent purchases made from M/s.Baby Suba and Company, Chennai and (ii) further, that it was in possession of documents to establish the purchases. In the conclusion of paragraph 5, the petitioner states that supporting documents will be filed at the time of personal hearing. Paragraph 6 relates to the proposal for levy of penalty to which the petitioner objects stating that there was no statutory provision mentioned in relation to which penalty is sought to be levied. 15. This was followed by a reminder from the respondent 31.01.2023 when he erron ..... X X X X Extracts X X X X X X X X Extracts X X X X
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