In W.P.No.19709 of 2020-MAD HC- Madras HC sets aside Order passed under TNGST Act as no pre-assessment notice/show cause notice was issued prior to passing of such order
Justice Anita Sumanth [15-03-2023]

Read Order:M/s.My Home Industries Pvt. Ltd Vs. State Tax Officer

LE Correspondent

Chennai, March 17, 2023: The Madras High Court has allowed a Writ Petition challenging an order passed in terms of the provisions of the Tamil Nadu Goods and Services Tax Act, 2017 (TNGST Act) on the ground that no pre-assessment notice/show cause notice was issued prior to passing of the impugned order.

The impugned order reflected at office notice GSTI 33AACM9480C1ZM/2017-2018 dated September 20, 2019.

In this matter before the Single-Judge Bench of Justice Anita Sumanth, the officer had put up a case that an opportunity of personal hearing was issued but there was no response to the notice either by way of written reply or personal hearing and hence, DRC 01 dated February 5, 2020 was issued. 

The Officer raised a demand on the transitional credit allegedly wrongly availed along with interest at the rate of 24%.

The petitioner submitted that the notice dated September 20, 2019 and Form DRC 01 dated February 5, 2020 were never received, either physically or by way of online modes of service.

In counter, the officer maintained that notice was issued to the taxpayer online. 

However, the Bench noted that the petitioner had placed the typed set alongwith the screenshot of the dashboard of the user/tax payer on the Goods and Services Tax website setting out the sequence of notices issued between October 30, 2018 and May 14, 2020 to the petitioner. Nowhere, did notice dated September 20, 2019  or Form DRC 01 was mentioned and there was no defence to this position, the Bench further noticed.

Thus, in light of the documentary evidence that had been produced which was a print out of the virtual summary of notices issued to the petitioner, the Bench held that impugned order was liable to be set aside.