Case Law Details
M.P. Commodities Pvt. Ltd. Vs State of Gujarat (Gujarat High Court)
Reasoned assessment order to be passed dealing with all aspects of the matter
The Hon’ble Gujarat High Court in M.P. Commodities Pvt. Ltd. v. State of Gujarat [R/Special Civil Application No. 3796 of 2022 dated March 9, 2022] quashed and set aside the demand order passed in Form DRC-07 by the Revenue Department, on the grounds of non-speaking order. Held that, all the relevant aspects of the matter were not considered and were not reflected in the orders. Further, directed the Revenue Department to ensure that a reasoned order is passed dealing with each and every submission raised by the assessee.
Facts:
This writ petition has been filed by the M.P. Commodities Pvt. Ltd. (“the Petitioner”) challenging the orders in Form GST-DRC-07 dated December 18, 2021 and December 21, 2021 (“the Impugned Orders”) passed by the Assistant Commissioner (“the Respondent”), on the grounds that they were non- speaking orders.
Issue:
Whether the Impugned Orders are liable to be quashed on the ground of being non- speaking orders?
Held:
The Hon’ble Gujarat High Court in the matter of R/Special Civil Application No. 3796 of 2022 held as under:
- Observed that, the Impugned Orders could be termed as non- speaking orders. Further, the original record that all the relevant aspects of the matter were duly considered yet, the same is not reflected in the Impugned Orders.
- Quashed and set aside and the Impugned Orders.
- Remanded the matter back to the Respondent for fresh hearing of the matter.
- Directed that, the Respondent shall hear the Petitioner once again and shall ensure that a reasoned order is passed dealing with each and every submission raised by the Petitioner and within a period of three months.
- Permitted the Petitioner to make their oral and written submissions and question the legality and validity of the Show Cause Notices itself.
FULL TEXT OF THE JUDGMENT/ORDER OF GUJARAT HIGH COURT
1. The matter is taken up for final disposal with the consent of the learned counsel appearing for the parties.
2. By this writ application under Article 226 of the Constitution of India, the writ applicants have prayed for the following reliefs:
“(A) That Your Lordships may be pleased to issue a Writ of Certiorari, or any other appropriate writ, order or direction quashing and setting aside Orders in Form GST-DRC-07 dated 18.12.2021 and 27.12.2021 (Annexure – “F”) passed by the Assistant Commissioner of State Tax. Division-3. Gandhinagar, the second respondent herein with a direction to him to consider and decide the Petitioner’s submissions by verifying the documentary and other evidence, and to decide the issue involved in this case in accordance with law;
(B) That Your Lordships may be pleased to issue a Writ of Certiorari, or a Writ of Mandamus, or any other appropriate writ, order or direction quashing and setting aside the two Show Cause Notices both dated 21.10.2019, in Form GST DRC-01 (Annexure-“C”) with a direction to issue in accordance with law proper show cause notices with clear/explicit reasons and grounds for the proposals therein against the Petitioners:
(C) Pending hearing and final disposal of the present petition, Your Lordships may be pleased to stay implementation and execution of Orders in Form GST-DRC-07 dated 18.12.2021 and 27.12.2021 (Annexure-“F”) passed by the Assistant Commissioner of State Tax, Division-3, Gandhinagar, thereby staying any coercive measures of recovery against the Petitioners pursuant to this adjudication orders dated 18.12.2021 and 27.12.2021 made by the 2ndRespondent herein:
(D) An ex-parte ad-interim relief in terms of Para 18(C) above may kindly be granted:
(E) Any other further relief that may be deemed fit in the facts and circumstances of the case may also please be granted.”
3. We need not delve much into the facts giving rise to this litigation as this writ application can be disposed of on a short ground.
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