Uday Glass House Vs State of Uttar Pradesh And Another (Allahabad High Court)
In Uday Glass House v. State of Uttar Pradesh and Another, the petitioner challenged the demand order and show cause notice dated 27.02.2025 and 28.11.2024, issued under Section 73 of the Uttar Pradesh Goods and Services Tax Act, 2017. The petitioner had received a show cause notice on 28.11.2024, directing submission of reply by 28.12.2024 and personal hearing on 06.01.2025. Although the petitioner submitted its reply on 17.12.2024, it did not appear for the hearing on the scheduled date. The adjudicating authority neither passed an order on that date nor fixed any new date or issued further notice. Subsequently, on 27.02.2025, the authority issued a final demand order of ₹81,17,596.69.
The petitioner contended that the impugned order violated principles of natural justice, as no fresh hearing date was fixed and its written reply was ignored. The Revenue opposed the petition, citing delay and failure of the petitioner to appear on the scheduled hearing date.
The Court held that under the U.P. GST Act, an adjudicating authority must provide a personal hearing when requested and must issue a fresh notice if the final order is not passed on the earlier communicated date. Moreover, any order carrying civil consequences must contain reasons addressing the objections raised in the reply. The Court observed that these principles were not followed in the present case — no reasons were recorded, and no new notice for hearing on 27.02.2025 was issued.
