2024 (6) TMI 1093 - HC - GST

Tax Assessment Orders Against Deceased Invalid: Legal Heirs Must Be Properly Notified for Future Proceedings

HC ruled assessment orders issued to a deceased person are invalid. After reviewing death certificate confirming individual's demise before order ... Assessment against deceased person - Validity of assessment proceedings after death - Legal heirs' liability and initiation of fresh proceedings - Setting aside assessment orderAssessment against deceased person - Validity of assessment proceedings after death - Legal heirs' liability and initiation of fresh proceedings - Impugned assessment orders issued after the date of death of the assessee are unsustainable and therefore liable to be set aside. - HELD THAT: - The petitioner produced the death certificate recording the date of death as 08.05.2021. The show cause notice and the impugned assessment orders were issued subsequent to that date. On that factual foundation the Court held that proceedings and assessment orders addressed to a deceased person cannot be sustained. The Court set aside the impugned orders while expressly leaving open to the respondent the right to initiate proceedings against the legal heirs of the deceased, thereby preserving the tax authority's ability to proceed against the competent parties. [Paras 4, 5]Impugned assessment orders dated 19.09.2023 set aside; respondent permitted to initiate proceedings against the legal heirs.Final Conclusion: Writ petitions allowed by setting aside the impugned assessment orders issued after the assessee's death; respondent may initiate fresh proceedings against the legal heirs. No costs. Issues:Assessment orders issued to a deceased person.Analysis:The judgment pertains to two writ petitions challenging assessment orders issued to a deceased individual. The petitioner, one of the sons of the deceased, argued that the orders were invalid as they were issued after the death of his father. The petitioner provided the death certificate and legal heirship certificate to support his claim. The counsel for the petitioner emphasized the unsustainability of the proceedings against a deceased person.The court noted that the death certificate confirmed the demise of the individual on 08.05.2021, while the assessment orders were issued after this date. Considering the sequence of events, the court concluded that the impugned orders could not be upheld. Consequently, the court set aside the orders dated 19.09.2023 and allowed the respondent to initiate proceedings against the legal heirs of the deceased individual.In the final disposition, the court disposed of the writ petitions in accordance with the above decision, with no costs imposed. The related miscellaneous petitions were also closed as a result of the judgment.