TaxTMI 
TaxTMI 
2026 (7) TMI 749
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.... these Writ Petitions, the Petitioner has challenged the respective Impugned Show Cause Notices all dated 25.06.2025 and summary of the respective Show Cause Notices in GST DRC-01 dated 30.06.2025 and 27.06.2025 as detailed below:- Table - I Sl. No W.P.No. State Show Cause Notice No. and Date of Show Cause Notice Date of summary of Show Cause Notice in GST DRC-01 Summary of Show Cause Notice Reference No. Tax Period Amount 1. 34600 of 2025 Gujarat 014/2025 30.06.2025 ZD240625103538G Jan 2019-Mar 2021 30,88,52, 204 25.06.2025 2. 34604 of 2025 Tamil Nadu 014/2025 27.06.2025 ZD330625265936Y Dec 2018- Jun 2019 7,24,62,736 25.06.2025 3. 34617 of 2025 Andhra Pradesh 014/2025 27.06.2025 ZD3706250314594 Jan 2019- Jan 2019 2,57,97,588 25.06.2025 4. The records before this Court reveal that the Petitioner has operations in the following States:- 1. Karnataka 2. Tamil Nadu 3. Kerala 4. Andhra Pradesh 5. Gujarat 6. Maharashtra 7. Rajasthan 5. The challenge to the Impugned Show Cause Notices in these Writ Petitions are p....
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....(WTGs) in a Semi-Knocked Down (SKD) condition to the sites of the respective customers of the Petitioner where the Wind Turbine Generators (WTGs) were installed and that the Petitioner has not suppressed any fact to evade tax and as such, informations were furnished and provided as and when called for, by the authorities under the Act. 12. Earlier, the Petitioner was proceeded under Section 73(9) of the respective GST Enactments by the Jurisdictional Authority in the State of Andhra Pradesh for the Tax Periods July 2017-September 2019 vide orders dated 29.12.2020 for a sum of Rs. 72,97,45,695/- for its operations in Andhra Pradesh. 13. It appears that separate orders have been passed, for the aforesaid Tax Period both for CGST and SGST, which are subject matter of two Writ Petitions before the Andhra Pradesh High Court in W.P.Nos.4799 and 4801 of 2022. 14. Paragraph Nos.60 and 61 of the Order dated 29.12.2020 insofar as SGST is concerned are reproduced below in respect of which separate orders would have been passed under CGST: "60. For the reasons explained above, the assessee is assessed to SGST of Rs. 24,98,16,214/- (Rs.49,96,32,427/2) under Section 73(9) of SG....
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.... outbreak of 2nd wave of Covid-19. 20. In this background, the Petitioner sent a request on 19.01.2023 to Directorate General of Goods and Services Tax Intelligence (DGGI), Surat Zonal Unit (Vadodara Regional Unit), Gujarat to have the investigation transferred to their counterparts at Chennai, the 1st Respondent in these Writ Petitions. 21. Pursuant to the aforesaid request, a Meeting is said to have taken place between the Investigation Officer of the 1st Respondent, Directorate General of Goods and Services Tax Intelligence (DGGI), Chennai Zonal Unit, Chennai and the Petitioner on 12.03.2024. 22. In this background, a Show Cause Notice dated 14.05.2024 in GST DRC-01 was issued under Section 74 of the respective GST Enactments to the Petitioner for a sum of Rs. 155,91,14,093/- for the Tax Period between September 2017 to December 2018, thus during the Tax Periods 2017- 2018 and 2018-2019. The Summary of the Annexure-A to the Said Show Cause Notice is detailed below:- Table - IV States Tax Period Differential Tax @ 3.9% GST payable Karnataka Sep-17 to Dec-18 88,17,74,752 Tamil Nadu Aug-17 to Dec-18 52,29,75,346 Andhra Pradesh Nov-17 to ....
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....0,157 29. The above Show Cause Notice dated 26.06.2024 was a precursor to the Impugned Show Cause Notices dated 25.06.2025 impugned in these writ petitions. 30. As far as the Impugned Show Cause Notices are concerned, they are pursuant to further investigation conducted under inspection mode between 08.10.2024 and 28.01.2025 for the above mentioned period in Table-I. 31. The demand has been quantified in the Impugned Show Cause Notices on the following heads:- i. Short payment of GST due to adoption of wrong valuation. ii. Short payment of GST due to reduction is GST liability by way of issuance of credit notes in contravention of Section 34 of CGST/SGST Act, 2017. (i) Short payment of GST due to adoption of wrong valuation:- 32. As far as these Writ Petitions before this Court are concerned, the Petitioner has been issued with a composite Show Cause Notice on account of short-payment of GST due to adoption of wrong valuation (Issue No.1 of the Impugned Show Cause Notices) for the supplies effected in Gujarat, Tamil Nadu and Andhra Pradesh. 33. The three references Impugned in the Show Cause Notices for the respective States towards the short pay....
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....receded intimation in Form GST DRC-01A dated 04.06.2025 which were replied by the Petitioner on 11.06.2025. 38. The Impugned Show Cause Notices are based on the voluntary statements recorded during the course of investigation under Section 67 of the respective GST Enactments not only from the employees and the authorized personnel of the Petitioner but also some of the customers of the Petitioner. 39. It is noticed that the Impugned Show Cause Notices have discussed the business module of the Petitioner, which included acquisition of land for the customers, construction of foundation, erecting of Wind Turbine Generators (WTG's) and thereafter installation and commissioning of Wind Turbine Generators (WTG's) at site on completion of work, testing and hand over the Wind Turbine Generators (WTG's) to the customer to facilitate the power generated to be transmitted to the grid. 40. That apart, there are several allegations which have been detailed in the Impugned Show Cause Notices including the voluntary statements recorded from the persons. 41. Thus, it is evident that there are foundational facts before the 1st Respondent to assume jurisdiction under Section 74 of the re....
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....tax payer before the audit team whereas the DGGI Investigation spans across India and data analytics developed by the Officers and that the investigation can be initiated by DGGI if the same issue was not intended to be covered by the Audit. 50. Merely because the Directorate General of Goods and Services Tax Intelligence (DGGI), Surat Zonal Unit (Vadodara Regional Unit), Gujarat had investigated the employees of the Petitioner and recorded the statements pursuant to which the Petitioner has paid tax together with interest on 22.05.2023 is not sufficient to state the proceedings are without jurisdiction. 51. It is for the Petitioner to give a proper reply to the impugned Show Cause Notices and the summary of the Show Cause Notices in GST DRC-01 impugned in these Writ Petitions. 52. In the Impugned Show Cause Notices, it has been specifically stated as follows:- "Though the taxpayer has stated that they have provided the workings and copy of DRC 03 dated 22.05.2023 for payment of tax and interest in their reply to DRC 01A, it appears that they have mis-stated as they have paid only interest as per DRC 03 and workings enclosed that too for some of the invoices for M....