Tvl. Viswanathan Amarnath Vs Deputy State Tax Officer (ST) (Madras High Court)
Madras High Court has quashed a tax assessment order against Tvl. Viswanathan Amarnath, ruling that the taxpayer was not properly served with notices and was denied a genuine opportunity to be heard. The court highlighted the inadequacy of merely uploading crucial communications to the “View Additional Notices and Orders” section of the GST Portal.
The petitioner, Tvl. Viswanathan Amarnath, filed a writ petition challenging an order dated August 28, 2024, issued by the Deputy State Tax Officer (ST) for the assessment year 2019-20. The petitioner argued that the order was illegal, arbitrary, and violated principles of natural justice.
Petitioner’s Grievance: Unseen Notices and Ex Parte Order
The petitioner’s counsel informed the court that the respondent had uploaded the DRC-01 show cause notice, subsequent reminders, and the final impugned order solely to the “View Additional Notices and Orders” column on the GST Portal. The petitioner claimed they had “no occasion to view the same” because of this specific upload location. As a result, they were unaware of the deadline for filing a reply (June 25, 2024) or the scheduled personal hearing (June 26, 2024).
The counsel emphasized that the impugned order was passed ex parte, meaning without the petitioner’s participation, directly violating the principles of natural justice. Additionally, the petitioner challenged the reversal of Input Tax Credit (ITC) amounting to Rs. 31,437/-, which the respondent justified by stating that the suppliers filed GSTR 3B returns with NIL turnover and failed to pay tax on invoices declared in GSTR 1. The petitioner countered this, stating their supplier had duly filed GSTR 1 and GSTR 3B, remitting tax correctly, making the ITC reversal unjustified.
