Reasoned assessment order to be passed dealing with all aspects of the matter

[CA Bimal Jain]

The Hon’ble Gujarat High Court in M.P. COMMODITIES PVT. LTD. VERSUS STATE OF GUJARAT - 2022 (3) TMI 1154 - GUJARAT HIGH COURT quashed and set aside the demand order passed in Form DRC-07 by the Revenue Department, on the grounds of non-speaking order. Held that, all the relevant aspects of the matter were not considered and were not reflected in the orders. Further, directed the Revenue Department to ensure that a reasoned order is passed dealing with each and every submission raised by the assessee.

Facts:

This writ petition has been filed by the M.P. Commodities Pvt. Ltd. (“the Petitioner”) challenging the orders in Form GST-DRC-07 dated December 18, 2021 and December 21, 2021 (“the Impugned Orders”) passed by the Assistant Commissioner (“the Respondent”), on the grounds that they were non- speaking orders.

Issue:

Whether the Impugned Orders are liable to be quashed on the ground of being non- speaking orders?

Held:

The Hon’ble Gujarat High Court in the matter of M.P. COMMODITIES PVT. LTD. VERSUS STATE OF GUJARAT - 2022 (3) TMI 1154 - GUJARAT HIGH COURT held as under:

• Observed that, the Impugned Orders could be termed as non- speaking orders. Further, the original record that all the relevant aspects of the matter were duly considered yet, the same is not reflected in the Impugned Orders.
• Quashed and set aside and the Impugned Orders.
• Remanded the matter back to the Respondent for fresh hearing of the matter.
• Directed that, the Respondent shall hear the Petitioner once again and shall ensure that a reasoned order is passed dealing with each and every submission raised by the Petitioner and within a period of three months.
• Permitted the Petitioner to make their oral and written submissions and question the legality and validity of the Show Cause Notices itself.

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