section 107(11) scn- can the appellate authority brought new allegation which were not there in the SCN of original / Adjudication stage?

[HimangshuKumar Ray]

Fact- Section 107(11) GST Act, show cause notice the Appellate authority inserted a new allegation under section 74 of the GST Act, 2017 as suppression of turnover found from the balance sheet submitted by the RTP during appeal hearing and in Adjudication allegation was made under section 73 of the GST Act, 2017 as show cause notice framed in adjudication stage only on ITC mismatch and adjudication order passed on that issue mismatch of ITC between GSTR-3B and GSTR-2A, but in the appellate stage the allegation “suppression of Turnover” brought and the appellate authority can not bring new allegation and the appellate authority can not travelled beyond the allegation brought in the show cause notice in adjudication stage. I expect expert opinion this this regard with Citations. kindly discuss.

AI Summary

Appellate Authority scope: cannot introduce new allegations at appeal and must confine to original show cause notice.
Appellate authorities must confine adjudication to allegations in the original show cause notice; they cannot introduce new allegations such as suppression of turnover when the adjudication SCN addressed an ITC mismatch. If an appellate authority proposes a new allegation, it must issue a fresh show cause notice with full reasons and documentary evidence and observe the applicable time limits; otherwise the appellant may object to the notice and challenge any order founded on the expanded charge.