Koenig Solutions Private Limited Vs Assistant Commissioner (Delhi High Court)
The Delhi High Court considered a writ petition seeking quashing of Form GST ADT-03 dated 24.08.2023 issued for conducting a special audit for FY 2018-19, an unsigned DRC-01 dated 01.08.2024, and a two-page undated and unverified special audit report with a covering letter dated 06.12.2023. The petitioner contended that these actions were contrary to Section 66 of the Central Goods and Services Tax Act, 2017/Delhi Goods and Services Tax Act, 2017, Rule 102 of the CGST Rules, 2017/DGST Rules, 2017, and, in respect of DRC-01, that it had been issued without a show cause notice under Section 73.
Before the High Court, the petitioner’s counsel submitted that the period available for passing an order pursuant to the notice issued under Section 73 of the CGST Act had expired. Reliance was placed on Notification No. 56/2023, which prescribed that the order could be passed only up to 30.04.2024.
On instructions, counsel for the respondents did not dispute this factual position and admitted that no order had been passed by the competent authority before 30.04.2024.
In view of the admitted position, the High Court held that the writ petition deserved to be allowed. It quashed the communication dated 24.08.2023 in Form GST ADT-03 issued for FY 2018-19. For the same reasons, the Court also quashed the DRC-01 dated 01.08.2024.
