Summit Exim Vs Assistant Commissioner (ST) (Madras High Court)
Madras High Court held that since petitioner failed to reply to the GST notice or attend personal hearing in the matter it is directed to deposit 25% of the disputed tax amount. Accordingly, order will be set aside and opportunity of hearing will be granted on payment of required amount.
Facts- The petitioner is engaged in the business of import and export of various goods and is registered under the Goods and Services Tax Act, 2017. During the scrutiny of the petitioner’s monthly return, it was found that there was a short payment of taxes due to excess claim of Input Tax Credit and alleged mismatch between GSTR-3B and GSTR-2A/GSTR-2B. An intimation in ASMT-10 was issued on 02.05.2023, followed by a notice in DRC-01 on 28.08.2023. Further, personal hearing was offered on 07.09.2023. However, the petitioner had neither filed its reply nor availed the opportunity for a personal hearing.
Conclusion- Held that the impugned order dated 25.05.2024 is set aside and the petitioner shall deposit 25% of the disputed tax within a period of four weeks from the date of receipt of a copy of this order. The impugned order of assessment shall be treated as show cause notice and the petitioner shall submit its objections within a period of four weeks from the date of receipt of a copy of this order along with supporting documents/material. If any such objections are filed, the same shall be considered by the respondent and orders shall be passed in accordance with law after affording a reasonable opportunity of hearing to the petitioner.
