Sandip Kumar Singh Vs State of Jharkhand (Jharkhand High Court)
The Jharkhand High Court, in the case of Sandip Kumar Singh Vs State of Jharkhand, has set aside a demand order due to the absence of digital signatures on the preceding intimation (Form GST DRC-01A) and the show cause notice. The petitioner argued that these documents, crucial to the demand order for the financial year 2021-2022, lacked the mandatory digital signature of the issuing authority as per Rule 26(3) of the Jharkhand Goods and Service Tax Rules, 2017. This rule mandates that notices, certificates, or orders must be issued through a digital signature certificate.
The court referenced its earlier judgment in Rajendra Modi v. State of Jharkhand and others (W.P.(T) No. 1354 of 2025, dated March 21, 2025), which similarly addressed the requirement of digital signatures.
Despite the respondent’s argument that the final demand order itself bore the signature of the issuing authority, the High Court determined that the lack of digital signatures on the preceding intimation and show cause notice rendered them vitiated. Consequently, the subsequent demand order (Annexure-7) and associated recovery notice (Annexure-8) were also deemed invalid.
The writ petition was allowed, and the impugned orders were quashed. However, the court granted liberty to the respondents to initiate fresh proceedings, provided they adhere to proper procedures, including furnishing the petitioner with an opportunity to respond to a duly issued intimation or show cause notice, and subsequently passing a reasoned order in accordance with the law.
