The Madras High Court quashed assessment order on the ground that no mandatory personal hearing granted under Section 75(4) of the GST Act, 2017.
The writ petition has been filed, challenging the assessment order passed in respect of the assessment year 2017-18 under the GST Act 2017. The petitioner, Sri Gayathri Agencies, has challenged the impugned assessment order on the ground of violation of principles of natural justice as the petitioner was not granted personal hearing in the impugned assessment proceedings.
Admittedly, in the impugned assessment order, an adverse decision has been taken against the petitioner, which is the subject matter of challenge in the writ petition.
The Government Advocate appearing for the respondent also admitted that no personal hearing was afforded to the petitioner in respect of the assessment year 2017-18.
Section 75(4) of the GST Act 2017 mandates personal hearing to be given to the assessee if any adverse decision is taken against the assessee in the assessment proceedings. Section 75(4) of the GST Act 2017 makes it clear that in cases, where an adverse decision is taken by the Assessing Officer against the assessee, personal hearing is mandatory.
The Court of Justice Abdul Quddhose observed that “In the assessment proceedings, pertaining to the assessment year 2017-18, no personal hearing was afforded to the petitioner. This being the case, on the ground of violation of principles of natural justice as the impugned assessment order has been passed contrary to Section 75(4) of the GST Act 2017, which mandates personal hearing, the impugned assessment order, pertaining to the assessment year 2017-18 has to be quashed.”
The Bench also noted that “For the foregoing reasons, the impugned assessment order passed in respect of the assessment year 2017-18 is hereby quashed and the matter is remanded back to the respondent for fresh consideration, on merits and in accordance with law.”
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
