Tvl.Kavitha Litho Press Vs Deputy State Tax Officer – 2 (Madras High Court)
The Madras High Court allowed the writ petition challenging an assessment order and summary order passed under GST law on the ground of lack of proper opportunity of hearing. The petitioner contended that all notices and communications were uploaded only on the GST portal, and due to lack of awareness, no reply was filed. Consequently, the impugned order was passed without granting any personal hearing. The petitioner expressed willingness to deposit 25% of the disputed tax amount and sought an opportunity to present their case.
The respondent submitted that notices were duly uploaded on the GST portal, which constitutes valid service. However, it was fairly admitted that no personal hearing was granted before passing the order. The respondent agreed for remand subject to payment of 25% of the disputed tax.
The Court observed that although uploading notices on the GST portal is a valid mode of service, it cannot be treated as effective service in all circumstances, especially when the taxpayer does not respond. The Court emphasized that in such cases, the officer should explore alternative modes of service as prescribed under Section 169(1) of the GST Act, including registered post, to ensure proper communication. Merely issuing notices on the portal and proceeding ex parte without ensuring effective service amounts to a procedural lapse and may lead to unnecessary litigation.
