Uttar Pradesh Goods and Services Tax Act, 2017, Section 74
Central Goods and Services Tax Act, Section 74
Determination of tax--Opportunity
of personal hearing not provided to assessee--Validity of
Conclusion: Where
assessment order was passed against the assessee without providing an
opportunity of personal hearing to it, the said order was liable to be set
aside.
Assessee challenged the order passed by the authority under
section 74(9) of the UPGST/CGST Act, 2017 on the ground that the show cause
notice did not disclose the date, time or venue of personal hearing, therefore,
the said order was passed in violation of section 75(4) of the Act. Held:
In view of decision of Co-ordinate Bench of this Court in the case of Mohini
Traders v. State of U.P. & Anr. 2023 TaxPub(GST) 797 (All-HC), it was
mandatory upon the Assessing Authority to afford an opportunity of personal
hearing to the assessee before passing an adverse order. Hence, the impugned
order passed under section 74(9) was set aside and the matter was remitted to
the original authority to issue a fresh notice to the assessee within a period
of 2 weeks.
Decision: In favour
of assessee by way of remand
Followed: Mohini
Traders v. State of U.P. & Anr. [Writ Tax
No. 551 of 2023] : 2023 TaxPub(GST) 797 (All-HC)
Relied: Mahaveer
Trading Company v. Dy. Commissioner State Tax & Anr. [Writ Tax No.
303 of 2024] : 2024 TaxPub(GST) 593 (All-HC)
IN THE ALLAHABAD HIGH COURT
SAUMITRA DAYAL SINGH & DONADI RAMESH JJ.
S.S. Suppliers v. State of U.P. & Anr.
Writ Tax No. 546 of 2024
9 April, 2024
Petitioner by: Ashish
Bansal, Niraj Kumar Singh
Respondent by: C.S.C.
Heard Sri Niraj Kumar Singh, learned counsel for the
petitioner-assessee and Sri Ankur Agarwal, learned counsel for the revenue.
2. Challenge has been raised
to the order dated 17-3-2023 passed by respondent no.2 under section 74(9) of
the U.P. GST Act, 2017 (hereinafter referred to as the 'Act'). Primarily, it
has been submitted, the above order was preceded by show-cause notice dated
1-10-2022 and a reminder notice dated 26-12-2022. However, neither that notice
disclosed to the petitioner - the date, time or venue of personal hearing. In
such circumstances, it has been vehemently urged, the impugned order has been
passed in violation of Section 75(4) of the Act.
3. The above aspect has been
considered by a coordinate bench of this Court in M/S Mohini Traders v.
State of U.P. & Anr. (Writ Tax No. 551 of 2023) : 2023 TaxPub(GST)
797 (All-HC); Neutral Citation No. 2023:AHC:115008-DB as also in Mahaveer
Trading Company v. Dy. Commissioner State Tax & Anr. (Writ Tax No.
303 of 2024) : 2024 TaxPub(GST) 593 (All-HC); Neutral Citation No.
2024:AHC:38820-DB.
4. In view of the facts
noted above and the earlier decisions of the Court, no useful purpose may be
served in keeping the present petition pending or calling for a counter
affidavit at this stage.
5. Accordingly, the present
writ petition is allowed. The impugned order dated 17-3-2023 is set aside.
The matter is remitted to the respondent no.2/Assistant Commissioner, Sector -
8, Varanasi (A) : Varanasi I, Commercial Tax to issue a fresh notice to the
petitioner within a period of two weeks from today. The petitioner undertakes
to appear before that authority on the next date fixed such that proceedings
may be concluded, as expeditiously as possible.