Baldev Metals Pvt. Ltd. Vs Pr. Commissioner of Delhi Goods And Services Tax (Delhi High Court)
The Delhi High Court, in the case of Baldev Metals Pvt. Ltd. vs Pr. Commissioner of Delhi Goods And Services Tax, set aside an adjudication order demanding ₹2.25 crore for the Financial Year 2019-20, ruling that the order was passed in violation of the principles of natural justice. The Court’s decision was based on the fact that the petitioner was denied a requested adjournment for a personal hearing and was consequently unable to file a reply to the Show Cause Notice (SCN) or present its case, leading to the impugned order being essentially ex-parte. The Adjudicating Authority had proceeded with the order on August 20, 2024, citing the approaching statutory limitation deadline.
The petitioner, Baldev Metals Pvt. Ltd., had challenged both the final adjudication order and the vires (legal validity) of several Central and State government notifications (Notification No. 9/2023- Central Tax, No. 56/2023- Central Tax, and No. 6/2023- State Tax). These notifications were used to extend the limitation period for passing assessment orders under Section 73 of the CGST Act. The challenge to these notifications mirrors a batch of petitions before the Delhi High Court and is currently a subject of legal debate across various High Courts in India.
