Ess Ess Enterprises and Electronics FF Vs Union of India (Jammu and Kashmir High Court)
In this case, the petitioner, a proprietorship concern engaged in works contract services and registered under GST, challenged a show cause notice dated 06.02.2026, a reminder dated 11.03.2026, and a demand order dated 09.04.2026 issued by the State Taxes Officer (STO) under the Jammu and Kashmir Goods and Services Tax Act, 2017.
The petitioner contended that GST audit proceedings for the financial years 2017-18 to 2022-23 had already been conducted by the Assistant Commissioner, GST (Audit), and an Audit Report had been issued under Section 65(6) of the CGST Act. According to the petitioner, all discrepancies identified during the audit had been addressed and the corresponding tax liabilities discharged. Despite this, the STO initiated proceedings under Section 73 of the J&K GST Act concerning the financial year 2022-23 and issued the impugned show cause notice.
The petitioner submitted that she could not attend the personal hearing scheduled on 08.03.2026 because she was out of station. She sought an extension through a representation dated 07.03.2026. The STO subsequently issued a reminder dated 11.03.2026 extending the time to file a reply until 21.03.2026 and fixing another hearing on the same date. The petitioner argued that 21.03.2026 was a public holiday on account of Eid-ul-Fitr, preventing her attendance. Thereafter, the STO passed an order under Section 73 on 09.04.2026, raising a demand of Rs. 3,41,80,109 towards tax, interest, and penalty.
