GST Assessment Order Passed Without Opportunity of Hearing Unsustainable: Calcutta HC Remands Matter [Read Order]

The Calcutta High Court has quashed an assessment order under GST on the ground that no effective opportunity of personal hearing was provided to the assessee, as required under Section 75(4) of the West Bengal Goods And Service Tax Act, 2017.

The case was heard before Justice Om Narayan Rai in a writ petition filed by Maya Store against the Order-in-Original dated December 14, 2023, passed under Section 73 of the GST Act for the tax period from July 1/2017 to March 31/ 2018.

The petitioner alleged that the challenged order, which had prejudicial civil effects, was passed without granting any personal hearing. In this regard, the CGST authorities submitted a report that notice of hearing was allegedly sent online via the ACES-GST application downloadable from the CITRIX Appstore.

However, it was admitted that the application was withdrawn and that no evidence, screenshot, or record of the notice could be produced.

The Court held that under Section 75(4), the principles of natural justice are recognized and a hearing is made mandatory when an adverse order is contemplated. In the absence of any material evidence to show that notice was served, the Court held that the adjudication order was in violation of thestatutory provisions as well as natural justice.

The assessment order was therefore set aside and the case was referred back to the Proper Officer for fresh adjudication after giving the petitioner an opportunity of hearing.

Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates