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2023 (1) TMI 1223 - HC - GSTValidity of summary SCN - Attachment of Bank Account of petitioner - input tax credit on inward supply in accordance with Section 16 of Jharkhand Goods and Services Tax Act, 2017 - HELD THAT:- It transpires that a show cause notice under Section 73(1) of the JGST Act, 2017 dated 7.1.2022 (Annexure-1) for the tax period January 2019-February 2019 was issued. However, from bare perusal of Annexure-1, it appears that the same is issued in a format without striking out of irrelevant particulars, thus the same is vague and does not spell out clearly the contravention for which the petitioner is charged. It is in fact, worse than summary of show cause notice in Form GST DRC-01 of the same date. Now it is well settled that the show cause notice issued under Section 73(1) of the Act is not mere a formality. As a matter of fact, the intent of legislature for issuing a show cause notice along with DRC-01 is that the DRC-01 is a summary of show cause notice and show cause notice should be in detailed giving the facts and circumstances and the grounds for levying tax. However, by going through the impugned show cause notice dated 7.1.2022, it appears that it is in a format without striking out the irrelevant particulars. It further transpires that the respondent Deputy Commissioner, Deoghar finally issued DRC-07 on 9.2.2022 without giving any further opportunity which is certainly beyond the provisions of law - the show cause notice is in a format and is not in a strict compliance of Section 73 (1) of the JGST Act and Rule 142(1)(a) of the Rules and since the principle of natural justice has not been complied in the instant case, the ground of alternative remedy is not acceptable by this Court. For the reasons stated hereinabove the instant application is allowed and the impugned show cause notice and DRC 01; both dated 7.1.2022 and also the summary of order issued under DRC-07 dated 9.2.2022, are hereby, quashed and set aside. The matter is remitted back to the Deputy Commissioner, State Tax Deoghar, Jharkhand to pass a fresh order after following due procedure of law from the stage of issuing fresh show cause notice strictly in accordance with law - Application allowed.
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