Case Law Details
Raj Rekha Vs Deputy State Tax Officer-II (FAC) (Madras High Court)
In a recent case before the Madras High Court, Raj Rekha challenged an order issued by the Deputy State Tax Officer-II (FAC) citing a denial of reasonable opportunity. The petitioner argued that their accountant’s failure to check the GST portal’s “view additional notices and orders” tab led to unawareness of the proceedings.
The petitioner’s counsel contended that the tax proposal was related to credit notes issued by suppliers, and Input Tax Credit was availed of net of the value of such credit notes. Despite the accountant’s oversight, the petitioner sought an opportunity to explain the discrepancy and agreed to remit 10% of the disputed tax demand as a condition for remand.
The court observed that the petitioner was not aware of the proceedings due to the accountant’s negligence. Consequently, the impugned order was set aside, and the petitioner was granted a chance to contest the matter. The court directed the petitioner to remit 10% of the disputed tax demand and submit a reply to the show cause notice within a specified period. Upon satisfaction, the respondent was instructed to provide a reasonable opportunity for a fresh order.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
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