Aarem Trad Ex Private Limited Vs Sales Tax Officer & Anr. (Delhi High Court)
In Aarem Trad Ex Private Limited Vs Sales Tax Officer, the Delhi High Court addressed a GST order dated December 22, 2023, which imposed a demand on the petitioner. The petitioner claimed that the demand resulted from a clerical error where Integrated GST credit was mistakenly claimed instead of CGST and SGST credits.
The petitioner argued that this error was minor and that they had notified the authorities in response to the Show Cause Notice. However, the court found that the order did not consider or respond to the petitioner’s detailed reply and merely stated that no payment had been made within 30 days of the notice and that the reply was inadequate.
The court ruled that the order lacked proper reasoning and had not properly reviewed the petitioner’s reply. Therefore, it was set aside. The court remitted the matter to the Proper Officer for re-adjudication, allowing the petitioner to submit additional information and requiring a new order with a thorough examination of the case. The court did not address other challenges related to notifications.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. Petitioner impugns order dated 22.12.2023 whereby the proceedings under Section 73 of the Central Good and Service Tax Act 2017 have been concluded and a demand has been created against the petitioner.
