GST show cause notice upheld where audit-adjudication circular was unchallenged and objections could be raised before adjudication.

A show cause notice issued under the GST audit-adjudication arrangement was not quashed because the challenge was confined to the notice and the governing circular was not assailed. The court noted that, under the administrative mechanism, audit officers may issue notices while the jurisdictional adjudicating authority decides them. In the absence of a challenge to the circular itself, interference with the notice was declined. The petitioner was left free to raise all objections in reply before the adjudicating authority, which was directed to decide the matter in accordance with law after hearing the petitioner.

---

---

Issues: Whether the impugned show cause notice was liable to be quashed on the ground that the audit officer lacked jurisdiction to require reply before the adjudicating officer.

Analysis: The challenge was confined to the show cause notice and the circular governing the audit and adjudication mechanism was not challenged. The notice was issued in terms of the administrative arrangement under Circular No. 31/05/2018-GST dated 09.02.2018, under which audit officers issue notices and the jurisdictional executive commissionerate adjudicates them. In the absence of any challenge to the circular itself, interference with the notice was declined, and the petitioner was left free to raise all objections before the second respondent in reply.

Conclusion: The show cause notice was not quashed and the petitioner was required to respond before the adjudicating officer.

Final Conclusion: The writ petition was disposed of by directing the petitioner to file a reply before the adjudicating authority, which was to decide the matter in accordance with law after hearing the petitioner.

---