Supper Club Vs Govt. of NCT of Delhi & Ors. (Delhi High Court)
In a significant development for the petitioner, M/s The Supper Club, the Delhi High Court has set aside a tax order issued under Section 73 of the Central Goods and Services Tax Act, 2017 (CGST Act, 2017), and directed the adjudicating authority to conduct a fresh assessment. The decision, delivered in the case of M/s The Supper Club through its Partner, Savar Duggal vs. Govt. of NCT of Delhi & Ors., underscores the necessity of procedural fairness in tax proceedings, even as the broader legal validity of key GST notifications remains under scrutiny by the Supreme Court and various High Courts.
The genesis of the dispute lies in a show cause notice (SCN) dated December 11, 2023, issued to M/s The Supper Club for the tax period spanning April 2018 to March 2019. This was followed by an order dated April 27, 2024, under Section 73 of the CGST Act. In addition to challenging these specific directives, the petitioner also mounted a challenge against two pivotal notifications: Notification No. 56/2023-Central Tax, dated December 28, 2023, and Notification No. 56/2023-State Tax, dated July 11, 2024. These notifications, issued by the Central Board of Indirect Taxes and Customs, are central to ongoing litigation across the country, primarily regarding the extension of statutory deadlines under the GST regime.
