2025 (6) TMI 1239 - HC - GST

Rejection of appeal filed by the petitioner on the ground of limitation though the delay was marginal - ex-parte order - principles of natural justice - HELD THAT - Noting that the scheme of the said Act provides for a multi tiered adjudicatory process and the Appellate Tribunal is yet to be constituted no fruitful purpose will be served in keeping the writ petition pending especially when the adjudication order is an ex parte order and the petitioner s case proceeds on the premise that the said ex parte order was passed without affording an opportunity of hearing to the petitioner and without considering the response filed by the petitioner though the petitioner had filed a response in Form DRC 06 on 11th October 2023. This apart ordinarily the appellate authority is far more equipped than this Hon ble Court to decide factual aspects as all the records are available on the portal which can be accessed by the appellate authority. Having regard thereto while setting aside the order dated 20th September 2024 passed by the appellate authority under Section 107 of the said Act matter remanded back to the appellate authority with the direction upon the appellate authority to hear out the matter and dispose of the appeal on merits by taking note of the response filed by the petitioner in response to the show-cause and by giving opportunity of hearing to the petitioner. Petition disposed off by way of remand.

Summary

The Calcutta High Court, through Hon'ble Raja Basu Chowdhury, J., disposed of a writ petition challenging the appellate authority's order dated 20th September 2024 under Section 107 of the WBGST/CGST Act, 2017. The petitioner contested the appellate authority's rejection of their appeal on limitation grounds, despite a marginal delay, against an ex parte order passed under Section 73 for the tax period July 2017 to March 2018.The Court emphasized the multi-tiered adjudicatory scheme of the Act and noted that the Appellate Tribunal is yet to be constituted. It held that the appellate authority is better suited to decide factual issues, having access to the complete records. The Court set aside the impugned order and remanded the matter to the appellate authority with a clear direction to "hear out the matter and dispose of the appeal on merits by taking note of the response filed by the petitioner" and to provide an opportunity of hearing.Consequently, the demand raised in APL-04 dated 20th September 2024 was also set aside. The Court clarified that since no affidavit-in-opposition was filed, the allegations in the writ petition are deemed not admitted by respondents. The writ petition was disposed of accordingly.