Kemexel Ecommerce Pvt. Ltd. Vs Sales Tax Officer (Delhi High Court)
The Delhi High Court considered a petition challenging an order dated 28 August 2024 issued by the Sales Tax Officer, AVATO, Delhi. The order was passed pursuant to a show cause notice (SCN) dated 29 May 2024, raising a demand of ₹53,46,391 for the financial year 2019–2020. The petitioner argued that the demand was unlawful because the issues had already been scrutinized under Section 61 of the Delhi Goods and Services Tax Act, 2017, and had been accepted through an ASMT-12 order issued earlier.
The background shows that a notice under Section 61 was originally issued on 6 February 2021 after scrutiny of returns in Form GST ASMT-10. The discrepancies identified were related to mismatches in Input Tax Credit (ITC) as reflected in GSTR-2A, ITC claimed in GSTR-3B, and liability shown in GSTR-1. A reminder was issued on 29 March 2021, directing the petitioner to provide explanations and documentation, including invoices, e-way bills, stock statements, bank statements, ledgers, and returns, failing which proceedings under the Act could be initiated.
The petitioner submitted a detailed reply on 14 September 2021 along with the required documents. After reviewing the explanation and records, the department issued an order in Form GST ASMT-12 on 26 April 2023, stating that the reply appeared satisfactory and the documents had been submitted. Thus, the matter was treated as closed.
