Case Law Details
Piku Saha Vs State of West Bengal & Ors (Calcutta High Court)
Introduction: In the recent case of Piku Saha Vs State of West Bengal & Ors, the Calcutta High Court rendered a judgment addressing the validity of GST notices served online. The petitioner challenged an intimation of tax liability, a show cause notice, and a consequential bank attachment notice issued under section 74 of the West Bengal Goods and Services Tax Act, 2017.
Detailed Analysis: The petitioner’s primary grievances revolved around the allegation that the authorities failed to verify returns under section 61 of the Act before issuing the intimation of tax. Additionally, the petitioner claimed that the intimation of tax was unsigned, violating Rule 26(3) of the WBGST Rules, and wrongly uploaded in the GST portal. Furthermore, the petitioner argued a lack of opportunity for a personal hearing, asserting a violation of the principles of natural justice.
Section 74 of the Act was scrutinized, revealing that verification under section 61 is not a pre-condition for initiating proceedings under section 74. The court emphasized that the proper officer must form a prima facie opinion before issuing notices. The records indicated a mismatch between the petitioner’s GSTR-7 and GSTR-3B, justifying the initiation of proceedings.
The court dismissed the contention that the notices were not signed, highlighting the automatic authentication through digital signatures on the GST Portal. The petitioner’s failure to respond to notices and participate in the proceedings was noted, leading the court to reject the plea based on natural justice.
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