SCN issued under CGST Act Lacks Jurisdiction As an order u/s 65(6) had already been passed: Gauhati HC [Read Order]

The Gauhati High Court Show Cause Notice (SCN) issued under the Central Goods and Services Tax Act, 2017 (CGST Act) lacks jurisdiction as an order under section  65(6) of the Act had already been passed.

Mr. A. Kanodia, counsel for the petitioner and Mr. B. Gogoi, Standing Counsel, Finance and Taxation Department for all the respondents.

Ms Surya Businees Private Limited, the petitioner has challenged the Show Cause Notice issued purportedly under Section 73 of the Central Goods and Services Tax Act, 2017/Assam Goods and Services Tax Act, 2017 on the ground that the noticee did not declare correct tax liability while filing the annual returns of GSTR – 09.

The petitioner has submitted that the Show Cause Notice purportedly issued under Section 73 of the Central Goods and Services Tax Act, 2017/Assam Goods and Services Tax Act, 2017 is not tenable because an order under Section 65[6] of the Central Goods and Services Tax Act, 2017/Assam Goods and Services Tax Act, 2017 had already been issued under Form GST ADT-02 on 17.06.2023.

Since an order under Section 65[6] had already been passed, issuance of a Show Cause Notice under Section 73[1] is without jurisdiction. The respondent has sought for a week’s time to obtain instruction as regards the legal issue raised in this writ petition.

A single bench of Justice Manish Choudhury observed that if no order has been passed on or before 28.10.2023 or subsequent thereto till date, the status quo as regards the proceedings stated to be drawn up vide the Show Cause Notice dated 28.09.2023, be maintained till the next date of listing.

To Read the full text of the Order CLICK HERE

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