The High Court found a violation of principles of natural ...

Allahabad High Court held violation of natural justice due to non-speaking order, ignoring petitioner's replies, and incorrect tax rate application. Remanded for fresh reasoned order.

Case Laws     GST

May 22, 2024

The High Court found a violation of principles of natural justice due to a non-speaking order by the adjudicating authority, which ignored the petitioner's replies and failed to provide reasons for applying a high tax rate. The court emphasized that the adjudicating authority must consider and provide reasons for rejecting explanations submitted by the petitioner. The lack of reasoning in the adjudication order was deemed unfair and inadequate. Additionally, the authority erred in applying the highest tax rate without justification, especially when part of the turnover was exempt. The court noted that the petitioner was not responsible for delays in the proceedings and remitted the matter back to the authority for a fresh, reasoned order within three months. The writ petition was allowed for remand.

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