Hcl Infotech Ltd Vs Commissioner, Commercial Tax And Another (Allahabad High Court)
In the case of HCL Infotech Ltd vs. Commissioner, the Allahabad High Court examined the legality of a Show Cause Notice issued to the petitioner under Section 74 of the Central Goods and Services Tax Act (CGST Act). The petitioner challenged the notice, arguing it lacked jurisdiction as it did not allege any fraudulent behavior or suppression of facts required to justify proceedings under this section. The court found that the notice, issued on August 3, 2024, did not establish any evidence of fraud or misstatement, thus failing to meet the necessary criteria for initiating action under Section 74. This ruling reiterated the Supreme Court’s consistent position that a writ petition is maintainable if a Show Cause Notice is issued without jurisdiction. Consequently, the court quashed the impugned notice, allowing for the possibility of fresh proceedings if proper allegations are presented in the future.
FULL TEXT OF THE JUDGMENT/ORDER OF ALLAHABAD HIGH COURT
1. Heard Sri Atul Gupta, learned counsel appearing for the petitioner and Sri Ankur Agarwal, learned Standing Counsel appearing for the respondents.
2. Petitioner has filed this writ petition challenging therein the Show Cause Notice No. ZD090824020702H dated 03.08.2024 issued by the Deputy Commissioner, State Tax, Sector-2 NOIDA, U.P. under Section 74 of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as the ‘CGST Act’).
