Hotel Rudra & Anr. Vs Deputy Commissioner (Calcutta High Court)
The Calcutta High Court has intervened in a dispute concerning an ex parte order demanding Goods and Services Tax (GST) based on a discrepancy in turnover, directing the tax authorities to provide the petitioner, Hotel Rudra, a fair opportunity to present its case. The ruling, in the case of Hotel Rudra & Anr. Vs. Deputy Commissioner, emphasizes adherence to the principles of natural justice in tax adjudication.
The writ petition was filed by Hotel Rudra, a partnership firm registered under the West Bengal Goods & Services Tax Act, 2017, challenging an order dated September 28, 2021, passed by the Joint Commissioner, State Tax, Baharampur Circle. The core of the dispute revolved around a significant enhancement of the firm’s taxable turnover.
According to the petitioners, their business primarily involved room rent services, with a reported turnover of Rs. 19,33,516/- for the period from April 2019 to February 2020. However, during an inspection, search, and seizure operation conducted by the respondent authorities for the periods spanning 2017-18 to 2019-20, discrepancies were identified. An intimation in Form GST DRC-01A, dated September 18, 2020, pointed out differences between the turnover declared in GST returns and that found in seized documents.
