Arvind Treaders Vs State of Uttar Pradesh And Another (Allahabad High Court
Summary: The Allahabad High Court allowed the writ petition challenging an order dated 19.7.2024 passed under Section 73(9) of the Goods and Services Tax Act, 2017, whereby a demand of Rs.2,94,649/- had been raised in the name of Arvind Agarwal.
The petitioner Neelam Agarwal, wife of deceased Arvind Agarwal, contended that Arvind Agarwal had died on 28.5.2021. The GST registration of the proprietorship firm M/s. Arvind Traders Company, which was in the name of the deceased Arvind Agarwal, had thereafter been cancelled with effect from 16.5.2021 by order dated 24.6.2022. Despite the Department being aware of the death and cancellation of registration, a show cause notice dated 16.5.2024 was issued in the name of the deceased under Section 73, followed by a reminder dated 9.7.2024. As the notices were uploaded on the portal and the GST registration had already been cancelled, the petitioner submitted that there was no occasion to access the portal. The show cause notice therefore remained unanswered and the order dated 19.7.2024 was passed raising demand against the deceased.
The respondents relied upon Section 93 of the Act and contended that recovery could be made from legal representatives even where the determination had been made after the death of the proprietor.
