Non-speaking SVLDRS certificate on payment adjustment was unsustainable; matter remitted for fresh consideration after hearing the taxpayer.
An order issued under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 that records payments claimed by the taxpayer but gives no reasons for refusing to adjust those payments is a non-speaking, unreasoned order showing lack of application of mind. In such a situation, the certificate cannot be sustained and the matter requires fresh consideration after taking the claimed payments into account. The proper course is to set aside the certificate and any consequential recovery action, and remit the dispute for reconsideration in accordance with law after granting an opportunity of personal hearing and submission of documents or objections.
Issues: Whether the certificate issued in Form SVLDRS-3 could be sustained when it did not disclose reasons for refusing to adjust payments stated to have been made by the petitioner under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, and whether the matter required reconsideration after taking such payments into account.
Analysis: The impugned certificate recorded that payments had been made, but it did not state why those amounts were not adjusted while computing the liability under the Scheme. The absence of reasons rendered the certificate cryptic, laconic, non-speaking and unreasoned, showing lack of application of mind. In these circumstances, and without expressing any view on the merits of the parties' rival contentions, the proper course was to set aside the certificate and remit the matter for fresh consideration in accordance with law, after bearing in mind the payments said to have been made by the petitioner and after granting an opportunity of personal hearing and submission of documents or objections.
Conclusion: The impugned certificate could not be sustained and the matter was required to be reconsidered afresh after accounting for the petitioner's claimed payments.
Final Conclusion: The writ petition succeeded to the extent of quashing the impugned certificate and consequential garnishee order, with the dispute sent back for fresh decision after compliance with the Scheme and hearing the petitioner.
Ratio Decidendi: An order under the Scheme that records payments but gives no reasons for refusing adjustment of those payments is a non-speaking and unreasoned order liable to be set aside and remitted for fresh consideration.
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