Nisha Raphel Vs State Tax Officer (Kerala High Court)
The Kerala High Court allowed a writ petition challenging a composite GST Show Cause Notice issued for six financial years, namely 2018–2019, 2019–2020, 2020–2021, 2021–2022, 2022–2023 and 2023–2024, along with the consequential Order-in-Original and its summary. The petitioner contended that issuance of a single show cause notice covering multiple assessment years was not legally sustainable, relying on earlier Division Bench decisions of the High Court.
After hearing both parties, the Court found merit in the contention and observed that the Division Bench had already held that composite notices covering multiple assessment years were legally unsustainable. Applying the principles laid down in those decisions, the Court held that interference was warranted.
Accordingly, the High Court quashed the Show Cause Notice, the Order-in-Original and its summary. The respondents were granted liberty to issue separate notices for the relevant assessment years. The Court further directed that the period from the date of the original Show Cause Notice until the date of receipt of the certified copy of the judgment shall be excluded while computing the limitation period for initiating fresh proceedings. All other contentions of the parties were left open.
FULL TEXT OF THE JUDGMENT/ORDER OF KERALA HIGH COURT
