Challenge to GST Notifications u/s 168A Pending in SC: Delhi HC Orders Fresh Adjudication, Directs Reconsideration of Taxpayer’s Reply [Read Order]

The Delhi High Court has remanded a Goods and Services Tax (GST) matter for fresh adjudication, directing the Adjudicating Authority to reconsider the Petitioner’s reply to a show-cause notice.

Korea Marine Transport Co. Ltd. (Petitioner) filed a writ petition under Article 226 of the Constitution of India, challenging the GST order dated 30th December 2023. The petitioner also challenged the Notification No. 9/2023-Central Tax dated 31st March 2023, and Notification No. 9/2023-State Tax dated 22nd June 2023.

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The petitioner argued that these notifications, issued under Section 168A of the Central Goods and Services Tax Act, 2017, were ultra vires to the Central and Delhi GST Acts. The petitioner submitted that a detailed reply to the show-cause notice dated 24th November 2023 was filed.

The petitioner contended that raised grounds in the reply to SCN that were not considered in the impugned order. The respondents supported the order. The respondents argued that the petitioner’s reply did not clarify the issues raised in the notice.

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A division bench comprising Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta observed that the impugned order failed to address the submissions of the petitioner. The court observed that the validity of the notifications is under consideration in S.L.P No. 4240/2025 in the case titled M/s HCC-SEW-MEIL-AAG JV v. Assistant Commissioner of State Tax & Ors. before the Supreme Court.

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The court set aside the order dated 30th December 2023 and directed the Adjudicating Authority to issue a personal hearing notice to the petitioner. The Court directed the authority to consider the petitioner’s reply dated 24th November 2023 and submissions from the hearing before passing a fresh order. The court ensured access to the GST Portal for the petitioner.

The court clarified that any fresh order shall be subject to the Supreme Court’s decision in S.L.P No. 4240/2025 and the Delhi High Court’s ruling in W.P.(C) 9214/2024 in the case titled Engineers India Limited v. Union of India regarding the state notification.

The writ petition was disposed of.

To Read the full text of the Order CLICK HERE

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