The Delhi High Court directed re-adjudication after allowing 30-day time period to file a reply to the show cause notice demanding Service tax under the Central Goods and Service Tax Act, 2017 ( CGST ).
Maple ODC Movers Private Limited, the petitioner challenged the order whereby a show cause notice dated 23.09.2023 has been disposed of and a demand created against the petitioner under Section 73 of the Central Goods and Service Tax Act, 2017 (the Act) in the sum of Rs. 1,21,64,174/- along comprising of interest penalty and tax component.
Counsel for the petitioner submitted that the petitioner never received any show cause notice as the show cause notice was not uploaded on the GST portal under the heading ‘Notices’ but appears to have been uploaded under the heading of ‘Additional Notices’. He submits that he was neither aware of the show cause notice nor any date of hearing and consequently could not file a reply to the show cause notice. He submitted that the impugned order was also not received by the petitioner. However, he became aware of one of the officers who during an official meeting informed the petitioner about a demand having been confirmed against the petitioner.
The order does not specifically deal with any of the averments in the notice and appears to be an order passed in default on account of the petitioner neither filing a reply nor appearing for a personal hearing.
In view of the request of the petitioner that an opportunity be given to the petitioner to file a response to the show cause notice, the division bench of Justice Sanjeev Sachdeva and Justice Ravinder Dudeja set aside the impugned order.
The Court directed to give opportunity to the Petitioner to file a reply to the show cause notice within 30 days. Thereafter the Proper Officer shall re-adjudicate the Show Cause Notice after giving an opportunity of personal hearing to the petitioner and shall pass a fresh speaking order by law within the period prescribed under Section 75 (3) of the Act.
Mr Sandeep Chilana, Mr Priyojeet Chatterjee, Mr Snehil Sharma, Mr Vaishnavi Gupta and Ms Anjali Jain appeared for the petitioner. Mr Rajeev Aggarwal, ASC with Ms Samridhi Vats, and Mr Jivesh Tiwari, Sr. PC with Ms Samiksha appeared for the respondent.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
