C.H. Robinson Worldwide Freight India Private Limited Vs Additional Commissioner (Delhi High Court)
Delhi High Court heard the case of C.H. Robinson Worldwide Freight India Private Limited vs Additional Commissioner through hybrid mode. The petitioner challenged the Show Cause Notice (SCN) dated 31 May 2024 issued by the Central Goods and Services Tax (CGST) Delhi (South), alleging wrongful availment of Input Tax Credit (ITC) for the Financial Year (FY) 2019–20 and raising a demand of ₹11,85,45,612. Though dated 31 May 2024, the SCN was actually issued on 12 August 2024.
The petitioner argued that the SCN was time-barred under Section 73(2) read with Section 73(10) of the CGST Act, 2017. As per these provisions, an order under Section 73(9) must be issued within three years from the due date for filing the annual return for the relevant financial year, and the SCN must be issued at least three months prior to this deadline. Notification No. 56/2023-Central Tax dated 28 December 2023 extended the time limit for issuing such orders for FY 2019–20 up to 31 August 2024. Consequently, the SCN should have been issued by 31 May 2024 at the latest.
The petitioner contended that since the notice was issued only on 12 August 2024, it violated the mandatory three-month interval between the issuance of the SCN and the final date for passing an order. The petitioner further asserted that the SCN was dispatched to the wrong address, even though the department had already updated the correct address on 15 May 2024.
