Durga Paper Plate Industries Vs Union of India through the Secretary (Patna High Court)
The Patna High Court considered a writ petition challenging an ex parte assessment order dated 28.08.2024 passed under Section 73(9) of the BGST Act, 2017 for the financial year 2019-20 and the consequential demand raised in Form DRC-07. The petitioner sought quashing of the assessment order and demand on the grounds that no opportunity of hearing was granted as required under Section 75(4) of the BGST Act and that no valid service of notices had been effected in accordance with Section 169 of the Act.
The petitioner, a proprietorship firm engaged in the business of foodgrains and manufacture and trade of paper cups, paper plates and similar products, stated that it had filed its GST returns and paid the admitted tax for the relevant financial year. The petitioner claimed that it first became aware of the assessment proceedings only after receiving information from its bank regarding attachment of its bank account for recovery of GST dues. On enquiry, the petitioner learnt that an assessment order dated 28.08.2024 had been passed raising a demand of Rs.7,21,819 including tax, interest and penalty, and that the order had been uploaded on the GST portal.
