GST Authorities cannot Pass a Demand Order Exceeding SCN: Allahabad HC

Shri Ram Trading Company Situated Vs State of U.P. and Another (Allahabad High Court)

In M/s Shri Ram Trading Company vs. State of U.P. (Writ Tax No. 3043 of 2025), the Allahabad High Court clarified an important procedural safeguard under GST: the tax department cannot raise a demand exceeding the amount specified in the Show Cause Notice (SCN). The dispute arose when an order dated April 5, 2025, raised a demand of ₹41.84 lakh, whereas the original SCN issued on November 20, 2024, proposed a demand of only ₹23.69 lakh.

Despite receiving a reminder and being given a hea

Please become a Premium member. If you are already a Premium member, login here to access the full content.