2024 (4) TMI 508 - HC - GST

Taxpayer Wins Appeal Against GST Assessment Order Due to Procedural Defects, Securing Right to Fair Hearing

MURTAZA B KAUKAWALA Versus STATE OF WEST BENGAL AND ORS.

HC allowed the appeal challenging GST assessment order, finding procedural irregularities. The court remanded the matter back to the Assistant ... Rejection of appeal as being time barred - Refusal to grant any interim order to the pending writ petition - assessee was not provided any opportunity - violation of principles of natural justice - HELD THAT:- The learned Government counsel appearing for the respondent State submitted that though opportunity was granted by the assessing officer, the appellant did not avail the same. The matter can be remanded back to the Assistant Commissioner, N.S. Road & M.R. Charge to consider the case afresh after affording an opportunity to the appellant/writ petitioner - Appeal disposed off by way of remand. Issues involved: Appeal against order refusing interim relief in a writ petition; Appeal against order rejecting appeal as time-barred under WBGST Act; Allegation of violation of principles of natural justice.Issue 1: Appeal against order refusing interim reliefThe intra court appeal was filed by the writ petitioner challenging the order passed on 18th July, 2023, in which the learned Single Bench declined to grant any interim order in the pending writ petition. The writ petition was entertained by the court.Issue 2: Appeal against order rejecting appeal as time-barred under WBGST ActThe petitioner was aggrieved by an order of the appellate authority under the WBGST Act, which dismissed the appeal as time-barred. The appeal was filed against the Assistant Commissioner's decision holding the appellant liable for GST payment. The grounds of appeal included the violation of principles of natural justice, lack of opportunity for the assessee, and failure to provide the full show cause notice to the petitioner. It was argued that only a summary of the notice was given, and no personal hearing opportunity was provided.The Government counsel for the respondent State contended that although an opportunity was given by the assessing officer, the appellant did not utilize it.Issue 3: Allegation of violation of principles of natural justiceAfter considering the facts and allegations against the appellant, the court decided to remand the matter back to the Assistant Commissioner for a fresh consideration, ensuring an opportunity for the appellant/writ petitioner. The order of the appellate authority was set aside, and the Assistant Commissioner's order was directed to be treated as a show cause notice. The appellant was instructed to respond within three weeks and would then be granted a personal hearing before fresh orders were passed in accordance with the law.