Ritesh Mitra Vs Assistant Commissioner of State Tax (Orissa High Court)
The Orissa High Court considered a writ petition challenging an Order dated 5 August 2024 passed under Section 74 of the Central Goods and Services Tax Act, 2017 and the Odisha Goods and Services Tax Act, 2017, concerning tax periods from 01.04.2021 to 31.03.2022, along with a Rectification Order dated 7 March 2026 passed under Section 161.
The petitioner contended that the assessment order was passed without serving a proper Show Cause Notice under Section 74 and that merely serving a Summary of Show Cause Notice dated 17 February 2024 was insufficient. It was also contended that the rectification proceedings were kept pending for more than one and a half years and the impugned order was barred by limitation.
The CT & GST Organization opposed the writ petition, submitting that the orders were passed in accordance with the statutory provisions. It relied on the notice in Form GST-01 and its annexure, which identified the objection concerning non-disclosure of certain turnover in the returns for 2021-22, despite the amount being reflected in the Works and Accounts Management Information System.
The Court observed that a defect in a notice may not vitiate jurisdiction unless it goes to the root of the matter and the resulting order is passed without adherence to natural justice. It further found that the discrepancy identified by the authority had been communicated to the petitioner through the annexure to Form GST DRC-01. The Court held that the disputed factual and legal issues could be considered by the appellate or other statutory authorities under the GST Act and Rules.
