Mandatory GST show cause notice requirement under Section 73 cannot be replaced by DRC-01 summary or tax-determination attachment.

A GST demand under Section 73 of the Assam Goods and Services Tax Act, 2017 was held invalid because no proper prior show cause notice under Section 73(1) had been served. The court held that the summary in Form GST DRC-01 under Rule 142(1)(a) is only an accompanying summary and cannot replace the mandatory notice, and that an attachment determining tax functions as a statement under Section 73(3), not a substitute for notice. Compliance with the prescribed procedure was a condition precedent to a valid Section 73(9) order, so the impugned order was set aside and quashed.

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Issues: Whether the impugned order under Section 73 of the Assam Goods and Services Tax Act, 2017 could be sustained when no proper and prior show cause notice under Section 73(1) was issued and only a summary in Form GST DRC-01 with an attachment determining tax was served.

Analysis: The statutory scheme requires the proper officer to serve a show cause notice under Section 73(1), and the summary in Form GST DRC-01 under Rule 142(1)(a) is only an accompanying summary and not a substitute for the notice itself. The attachment containing determination of tax corresponded to a statement under Section 73(3), which also cannot replace the mandatory show cause notice under Section 73(1). Compliance with the procedural requirements under Section 73 and Rule 142 is a condition precedent to the validity of an order under Section 73(9).

Conclusion: The impugned order was held unsustainable in law and was set aside and quashed in favour of the petitioner.

Ratio Decidendi: A summary of show cause notice in GST DRC-01 does not substitute the mandatory show cause notice required to initiate proceedings under Section 73, and non-compliance with the prescribed procedure vitiates the consequent demand order.

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