2024 (5) TMI 453 - HC - GST

Maintainability of petition - availability of alternative remedy - Violation of principles of natural justice - respondent authority has not provided the relied upon documents - no opportunity of hearing was provided to the petitioner as contemplated under Section 75(4) of the Goods and Service Tax Act 2017 - HELD THAT - On perusal of the impugned order in original passed in Form GST DRC-07 it emerges that the petitioner has been given adequate opportunity of hearing and therefore the contention of the petitioner that the opportunity of hearing not given is not tenable and the petitioner is therefore required to be relegated to avail the alternative efficacious remedy under Section 107 of the GST Act to challenge the impugned order before the appellate authority. The petition is dismissed.

Summary

Issues Involved:
The petition under Article 227 of the Constitution of India challenging an order in Form GST DRC-07 dated 27/12/2023 issued by the Assistant Commissioner of State Tax (4), Vadodara, regarding the non-provision of relied upon documents and opportunity of hearing u/s 75(4) of the GST Act, and the blockage of credit in Electronic Credit Ledger by Respondent No.3.

Issue 1: Opportunity of Hearing and Provision of Documents
The petitioner challenged the order on the grounds of not being provided with relied upon documents and no opportunity of hearing as required u/s 75(4) of the GST Act. The impugned order in Form GST DRC-07 indicated that the petitioner was given an adequate opportunity of hearing as detailed in Para.5.1 to 5.9 of the order. The contention of the petitioner regarding the lack of opportunity of hearing was deemed not tenable. The petitioner was advised to seek redressal through the alternative efficacious remedy under Section 107 of the GST Act to challenge the impugned order before the appellate authority.

Issue 2: Blockage of Credit in Electronic Credit Ledger
The petitioner's advocate highlighted that Respondent No.3 had blocked the credit in the Electronic Credit Ledger, preventing the petitioner from utilizing it for business purposes. This blockage was causing hindrance to the petitioner's business operations. However, the court did not find this argument sufficient to entertain the petition, leading to its dismissal.

In conclusion, the High Court of Gujarat dismissed the petition challenging the order in Form GST DRC-07 dated 27/12/2023. The court found that the petitioner had been provided with an adequate opportunity of hearing as per the impugned order and suggested seeking recourse through the appellate authority u/s 107 of the GST Act. The issue of blockage of credit in the Electronic Credit Ledger by Respondent No.3 was also addressed but did not lead to the petition being entertained.