SAHULHAMEED
V.
THE COMMERCIAL TAX OFFICER
P. (MD) NOS. 26481, 25801, 25855, 25979, 25773, 25952, 27362, 27363, 27357 TO 27361 27869 & 27190 OF 2024 AND W. P. (MD). NOS. 25376, 6147 & 20755, 28788 TO 28790, 28780, 28792, 28981, 29132, 29232, 5204 TO 5207, 29492, 29493, 29565, 29983, 30104, 30212-30214, 28672, 30499, 30501, 30628, 30810, 30845, 30824, 30825 & 30891 OF 2024 AND CONNECTED M. PS DATED 06.01.2025
HIGH COURT: MADRAS
Facts: Multiple writ petitions were filed before the Madras High Court challenging the manner of service of notices under Section 169 of the Tamil Nadu Goods and Services Tax Act, 2017. The petitioners argued that the respondents had uploaded notices or orders only on the GST portal, without following other prescribed methods of service under Section 169 of the TNGST Act. Most petitioners, being unfamiliar with technology, relied on tax practitioners for portal-related activities. In many instances, practitioners provided their own contact details, resulting in the petitioners being unaware of notices uploaded on the portal. The petitioners contended that such practices violated principles of natural justice, as the service of notices through the portal alone was insufficient for ensuring effective communication.
Issue: Whether the service of notices solely through the GST portal satisfies the statutory requirements under Section 169(1) of the TNGST Act? Whether such service, without employing alternative methods prescribed under the Act, violates the principles of natural justice by denying taxpayers a fair opportunity to respond?
Held that: Service of notices under Section 169 of the TNGST Act must comply with the principles of natural justice. It ruled that, while Section 169(1) TNGST provides alternative methods for serving notices, the process should ensure that the assessee is adequately informed, further court emphasized that, mere uploading of notices on the GST portal does not suffice if it fails to reach the assessee, the court noted that, the obligation to visit the portal cannot negate the duty of the authorities to ensure proper communication.
Further held that, reliance on prior judgments regarding alternative remedies was not persuasive, as the frequent complaints of notice violations indicated a systemic issue and directed the respondents to adhere to all prescribed methods under Section 169(1) to guarantee compliance with the principles of natural justice.
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