In Micro Tech System versus Assistant Commissioner, State Goods & Service Taxes, Kerala High Court has held that Assessment can’t be completed in the absence of communication to petitioner on Adjournment Request.
The Petitioner M/s Micro Tech System was an assessee under the Kerala Value Added Tax Act and their escaped income for the year under dispute was sought to be assessed by the assessing authority invoking the powers under section 25(1) of the KVAT Act by issuing petition notices.
The allegation in these circumstances was petitioner on receipt of notice preferred requests seeking one month time, but the assessing officer without giving any further intimation in the matter, the proceedings have been completed.
Justice P.B Suresh Kumar heard the contentions and perused the record of submissions. Before this court, Government Pleader contended that petitioner sought one month gap for raising objection against show cause notice and argued that they should have raised the objection even after the expiry of one month, the assessments have been completed as proposed in the notices on after one month of such request.
The Government pleader also added that no communication has been given to the petitioner on the adjournment request made by them.
Finally, Judge said that orders are vitiated for non-compliance of the principles of natural justice and allowed the writ petition. The court directed assessing the authority to complete the assessments pursuant to Exts.P1 and P1 (a) notices afresh, after affording the petitioner an opportunity of hearing.
Accordingly, petitioner got an opportunity of hearing and file objections, if any, against the proposal before the said date.
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