M/s DNA AGROTECH PRIVATE LIMITED
v.
THE STATE OF ASSAM & ORS.
WP(C)/6983/2024
DATED: FEBURARY 5th , 2025
HIGH COURT: GAUHATI
Facts: The Petitioner deals in the business of trade and supply of fertilisers, etc. The present
writ petition has been filed by the Petitioner against the demand order on the ground that there was no proper and prior Show Cause Notice prescribed under Section 73(1) of the Assam Goods and Services Tax Act, 2017 and the Petitioner was only served with a Summary of Show Cause Notice in Form GST DRC-01, which is also not in conformity with Section 73 read with Rule 142 (1) (a) of the Assam Goods and Services Tax Rules, 2017.
ISSUE: Whether issuance of Summary of the Show Cause Notice, in Form GST DRC-01and attachment to determination of tax can be said to be in compliance with Section 73(1) of the Act, and Rule 142(1) of the Rules 2017?
HELD: Noted that the Show Cause Notice is required to be issued by the proper officer, the statement under Section 73(3) is to be issued by the proper officer as well as the Order under Section 73(9) is required to be issued by the proper officer. Compliance of the provisions contained in sub-section (1) to sub-section (8) and sub-section (10) to sub-section (11) of Section 73 of the Act and sub-rule (1) of Rule 142(1) of the Rules are conditions precedent to term an Order passed under sub-section (9) of Section 73 of the Act as a valid one.
Observed that a proper and prior Show Cause Notice under Section 73(1) of the Act was not issued along with the Summary of Show Cause Notice in Form GST DRC-01 and the Attachment to Determination of Tax. Further relied on the judgment in CONSTRUCTION CATALYSERS PRIVATE LIMITED & ORS v. THE STATE OF ASSAM & ORS(2024 Taxo.online 2299) and quashed & set aside the demand order, while holding that the demand is not sustainable in law.
Opined that it is open for the department to proceed with the matters by issuing a valid Show Cause Notice and in accordance with the observation CONSTRUCTION CATALYSERS PRIVATE LIMITED & ORS and in compliance with the other ancillary legal provisions. Also it would be open for the petitioner to raise all the grounds available under the law.
Disposed of the Writ petition .
To read more about this Judgement, subscribe today: https://taxo.online/product/taxo-pro/
Already a subscriber, Click to LOGIN & refer to the TAXO GST CASE LAWS
Or
Call us:- +91 99101 67919, 99996 93426
