In a recent decision the Calcutta High Court quashed GST notice issued under the West Bengal Goods and Service Tax Act (WBGST) on a dead person.
By the writ petition, petitioner, Kakali Saha, has challenged the impugned notice under Section 74 of the WBGST Act relating to the financial year 2017-18, on the ground that the same has been issued in the name of a dead person and this fact was already brought to the notice of the WBGST Authority concerned even prior to the issuance of the impugned notice.
Section 74 of the WBGST Act speaks about the determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised by reason of fraud or any wilful misstatement or suppression of facts.
Clause 1 of Section 74 of the WBGST Act states that “Where it appears to the proper officer that any tax has not been paid or short paid or erroneously refunded or where input tax credit has been wrongly availed or utilised by reason of fraud, or any wilful misstatement or suppression of facts to evade tax, he shall serve notice on the person chargeable with tax which has not been so paid or which has been so short paid or to whom the refund has erroneously been made, or who has wrongly availed or utilised input tax credit, requiring him to show cause as to why he should not pay the amount specified in the notice along with interest payable thereon under section 50 and a penalty equivalent to the tax specified in the notice.”
The Court of Justice Md Nizamuddin observed that “Considering the facts and circumstances of the case as appears from record and submission of the parties, the aforesaid impugned order is quashed on the ground that the same has been issued in the name of a dead person.
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