GST SCN uploaded under Additional Notices Tab, Fails to File Reply: Madhya Pradesh HC directs Dept to Re-open Portal [Read Order]

The petitioner, Singh Construction and Co., challenged the assessment orders dated 14.07.2023 for the financial years 2018-19, 2019-20, and 2021-22, along with the appellate orders dated 02.12.2024, which had dismissed the appeals solely on the ground of limitation.

The petitioner contended that it was never informed of the SCNs through any direct or proper mode of service and only later discovered that they had been uploaded under the “Additional Notices and Orders” section on the GST portal, a location distinct from the regular “View Notices and Orders” tab typically accessed by taxpayers.

The petitioner cited similar judgments from the Madras High Court in East Coast Constructions, Sabari Infra Pvt. Ltd., and Murugesan Jayalakshmi, and Delhi High Court rulings in Umang Realtech Pvt. Ltd. and Anhad Impex, granting reasonable opportunity to respond to the assessee.

The court noted that the petitioner made out the case. The bench noted that the petitioner had missed out the receipt of the notice and accordingly could not respond to the Show Cause Notice because it was merely uploaded on the portal under the category of "Additional Notices” tab and accordingly could not respond to the Show Cause Notice.

It was also noted that the impugned order categorically records that the taxpayers were put to notice however, no reply by way of GST DRC-07. However, the taxpayer neither deposited the tax amount nor filed any response to the said notice and consequently, the demand has been created against the petitioner.

Accordingly, Justices Sanjeev Sachdeva and Vinay Saraf set aside the orders. It directed the GST department to reopen the online portal to allow the petitioner to file its reply to the Show Cause Notices in Form GST DRC-01 within two weeks.

Thereafter, the Proper Officer was instructed to re-adjudicate the matter afresh, following due process, including a personal hearing, and pass speaking orders in accordance with Section 75(3) of the CGST Act.

The Court clarified that it had not gone into the merits of the case and reserved the rights and contentions of both parties.

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