Common GST SCN for Multiple Years: Delhi HC directs to file Single Consolidated Appeal u/s 107 of CGST Act Against Common Order [Read Order]

The High Court of Delhi, directed the petitioner to file a single consolidated appeal under Section 107 of the Central Good and Service Tax ( CGST ) Act, 2017, against a common order arising from a common Goods and Service Tax ( GST ) show cause notice ( SCN ) covering multiple financial years.

Delhi Foils, petitioner-assessee, was a partnership concern of Mr. Alok Bhargava and Ms. Neena Bhargava. The petitioner stated that the SCN was issued by the Directorate General of GST Intelligence, Gurugram, on 31st August 2022 for alleged wrongful availment of Input Tax Credit (ITC) through good-less invoices. The SCN was based on a search conducted at their premises on 29th December 2020, following which the partners were arrested on 30th December 2020.

They submitted that the SCN related to the period 2017–18 to 2019–20 and was duly replied to. It was adjudicated, and the impugned order dated 3rd February 2025 was passed, raising tax demands.

Although Form DRC-07 dated 5th February 2025 mentioned the period as July 2017 to March 2018, the Department clarified that it covered all three years and the earliest year was mentioned to indicate compliance with the limitation period.

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The petitioner counsel, Ms. Vibhooti Malhotra, stated that since the SCN covered three financial years, the petitioner would have to file three separate appeals against the impugned order.

Justice Prathiba M.Singh and Justice Rajneesh Kumar Gupta observed that since a common SCN and a common order dated 3rd February 2025 were issued, mentioning only the year 2017-18, the petitioner could file one consolidated appeal under Section 107 of the CGST Act, 2017.

It allowed time till 15th July 2025 to file the appeal along with the required pre-deposit.

The Court directed that if the appeal was filed by that date, it should be decided on merits and not rejected as time-barred.It also permitted the petitioner to raise the issue of improper issuance of Form GST DRC-07 before the Appellate Authority.

The petition was accordingly disposed of.

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