GST Penalty Order Quashed for Passing Before Reply Deadline Expired: P&H HC

Deutsche Cars Pvt Ltd Vs State of Haryana And Others (Punjab and Haryana High Court) Payment of GST Penalty “Under Protest” for release of goods – Mandatory Requirement of Speaking Order under Section 129(3) The Court held that passing a penalty order without considering the taxpayer’s reply and before the expiry of the response deadline violates principles of natural justice. The petitioner, a registered car dealer, transported a vehicle for display with valid documents, but it was detained and penalty imposed. Although a show cause notice allowed time until May 13, 2025 to respon...