2021 (10) TMI 47 - HC - GST

Writ petition challenging GST adjudication order disposed; petitioner granted right to appeal.

M/s Shree Salasar Balaji Enterprises Versus State of U.P. and Another

The writ petition challenging an adjudication order under Section 74 of the U.P. GST Act, 2017 for the tax period of July 2017 was disposed of. The court ... Validity of adjudication order - Section 74 of the U.P. GST Act, 2017 - Valididty of two SCN - SCN dated 09.04.2021 for the period July 2017 to March 2018 under Section 127 of the UP GST Act, 2017 - SCN dated 23.12.2020 for the period July 2017 to March 2018 under Section 74 (3) of the Act - HELD THAT:- The written instructions placed on record by the learned Standing Counsel reveal that with respect to the proceedings under Section 127 of the Act, no prior adjudication exists. The petitioner has also filed a written reply dated 17.04.2021. Accordingly, leaving all courses open to the petitioner to raise objections in those proceedings, interference with the notice dated 09.04.2021 is also declined. SCN dated 23.12.2020 for the period July 2017 to March 2018 - HELD THAT:- Learned Standing Counsel clearly states that apparently that notice has been issued mistakenly, inasmuch earlier notice had been issued for the period July 2017 and the dispute for that period stood adjudicated by the earlier order dated 29.05.2020. The State therefore prays and is granted liberty to withdraw the aforesaid notice dated 23.12.2020, leaving it open the appropriate authority to issue such further notice as may be in accordance with law, for the period August 2017 to March 2018. The writ petition is disposed of leaving it open to the petitioner to file appeal, as above before the appropriate forum. In view of the present circumstances, that appeal, if filed within a period of two weeks' from today, the same may be decided on merits, as expeditiously as possible. Issues:Challenge to adjudication order under Section 74 of the U.P. GST Act, 2017 for the tax period July 2017, challenge to show cause notices dated 09.04.2021 and 23.12.2020 for the period July 2017 to March 2018 under different sections of the UP GST Act, 2017.Analysis:The present writ petition sought to quash the adjudication order dated 29.05.2021 passed by the respondent under Section 74 of the U.P. GST Act, 2017 concerning the tax period of July 2017. Additionally, challenges were raised against two other show cause notices dated 09.04.2021 for the period July 2017 to March 2018 under Section 127 of the Act and a notice dated 23.12.2020 for the same period under Section 74 (3) of the Act. The adjudication proceedings under Section 74 (3) had been concluded against the petitioner for the period of July 2017, and it was noted that the petitioner had the right to appeal against this order, thus no interference was warranted in the present writ petition regarding the order dated 29.05.2021.Regarding the notice dated 09.04.2021, it was revealed that no prior adjudication existed for the proceedings under Section 127 of the Act. The petitioner had submitted a written reply dated 17.04.2021, and it was decided to allow the petitioner to raise objections in those proceedings, hence interference with the notice dated 09.04.2021 was also declined.As for the third notice dated 23.12.2020 for the period July 2017 to March 2018, it was stated by the learned Standing Counsel that the notice had been issued mistakenly, as a previous notice had already been issued for the period of July 2017, and the dispute for that period had been adjudicated by the earlier order dated 29.05.2020. Therefore, the State was granted liberty to withdraw the notice dated 23.12.2020, allowing the appropriate authority to issue a further notice in accordance with the law for the period of August 2017 to March 2018.In conclusion, the writ petition was disposed of, permitting the petitioner to file an appeal before the appropriate forum. It was mentioned that if the appeal was filed within two weeks from the date of the judgment, it should be decided on its merits as expeditiously as possible, considering the circumstances at hand.