2024 (9) TMI 1462 - HC - GST

Violation of principles of natural justice - petitioner did not notice the show cause notice or other communications in view of his limited computer knowledge - petitioner contends that the mechanism of reconciliation of GSTR 3B returns and the auto populated GSTR 2A was not in force during the relevant period - HELD THAT - On examining the impugned order it appears that the tax proposal was confirmed on the ground that the petitioner did not reply to the show cause notice. By taking into account the assertion that such non participation was on account of not being aware of proceedings the interest of justice warrants re-consideration subject to putting the petitioner on terms. The impugned order dated 20.12.2023 is set aside on condition that the petitioner remits 10% of the disputed tax demand as agreed to with in a period of fifteen days from the date of receipt of a copy of this order. The petitioner is permitted to submit a reply to the show cause notice within the aforesaid period - petition disposed off.

Summary

The High Court of Madras set aside the order dated 20.12.2023 in a writ petition due to breach of natural justice principles. The petitioner, facing GST compliance issues, agreed to remit 10% of disputed tax demand for remand. The court directed the respondent to provide a reasonable opportunity for the petitioner to reply to the show cause notice and issue a fresh order within three months. Bank attachment was lifted, and the case was disposed of with no costs.