In a recent case, the Allahabad High Court while allowing the writ petition filed by the petitioner observed that the revenue canceled the Goods and Service Tax ( GST ) refund without affording opportunity for hearing the petitioner.
The writ petition was filed by the petitioner Kec International Limited by challenging the order of canceling the GST refund granted earlier to the petitioner.
Bharat Raichandani along with Shri Namit Kumar Sharma counsel appeared for the petitioner submitted that The date fixed for hearing was 16.11.2023. The petitioner had sought adjournment of two weeks by e-filing adjournment application dated 15.11.2023, the revenue authority has proceeded to reject that application on a perverse reasoning of repeated adjournment sought.
Accordingly Without affording any opportunity of hearing and in complete denial of the petitioner’s right to that under Section 75(4) of the Act, 2017, the impugned order has been passed only to deny the refund .
During the proceedings, Prashant Meharchandani, Senior Standing Counsel submitted that petitioner may avail statutory remedy of appeal against the order, on query put to him, he could not deny either the fact that the first date fixed in the proceeding was 16.11.2023 or the fact that the petitioner had filed adjournment application for the date fixed.
The court observed that Section 75(4) of the Act, 2017 gives perfect right to the petitioner to be personally heard before any adverse order may be passed.
Therefore the court determined that “Since the statutorily incorporated right of natural justice has been violated for no good reason, we observe that alternate remedy that otherwise exists may not operate as a bar to entertain the present petition”
After analyzing the facts and arguments of both parties, a division bench of Chief Justice Satish Chandra Sharma and Justice Tushar Rao Gedela allowed the writ petition and observed that cancellation of Goods and Service Tax ( GST ) refund was without affording opportunity for hearing to the petitioner.
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