2023 (9) TMI 128 - HC - GST

Tax Assessment Order Invalidated for Insufficient Reasoning, Authorities Directed to Provide Comprehensive Explanation Within Six Weeks

HC found the impugned order invalid due to lack of proper discussion and non-speaking nature. The order assessed dues under TNGST Act without adequate ... Principles of natural justice - non-speaking order - impugned order has been passed without proper discussion - HELD THAT:- A reading of the impugned order makes it clear that the order is non-speaking order in nature. The case is remitted back to the respondent to pass a speaking order on merits and in accordance with law within a period of six weeks from the date of receipt of a copy of this order - Petition allowed by way of remand. Writ petition disposed at admission with consent. Petition arises from a show cause and personal hearing process: notices dated 06.01.2023 and 15.05.2023; petitioner asserts he produced documents and attended personal hearing on 01.06.2023, but an order was passed the same date containing the following observations: 'On receipt of the personal hearing opportunity notice, the taxable person was not appeared for personal hearing on 01.06.2023. No reply or any documents filed by the taxable person. No objections filed by the taxable person so far. Hence the dues assessed and determined the liability under the proviso of section 74 of the TNGST Act, 2017 and levied the ITC reversal, interest due u/s 50 and penalty due u/s 74...' The impugned order is held to be a non-speaking order and is set aside. Matter is remitted to the respondent to pass a speaking order on merits and in accordance with law within six weeks, with the petitioner to be heard. Petitioner must file photocopies of documents within 15 days. No costs; connected matters closed.