Mayasheel Retail India Limited Vs State Of Chhattisgarh (Chhattisgarh High Court)
The Hon’ble Chhattisgarh High Court in Mayasheel Retail India Ltd. v. State of Chhattisgarh [Writ Petition No. 84 of 2024 dated April 04, 2025] dismissed the writ petition where the Assessee had challenged demand order on ground that it came to Assessee’s knowledge pursuant to issuance of recovery notice. It was issued without issuing a Show Cause Notice (“SCN”) under Section 73 of the Central Goods and Services Tax Act, 2017 (“the CGST Act”) and without scheduling a personal hearing. The Order was appealable. Assessee had not been able to make out any exceptional case to interfere with order in extra-ordinary and discretionary jurisdiction under Article 226 of Constitution of India (“the Constitution”).
Facts:
Mayasheel Retail India Ltd. (“the Petitioner”) challenged a Demand Order passed under Form GST DRC-07 dated January 11, 2021 (“the Impugned Order”) which came to the knowledge of the Petitioner pursuant to the issuance of recovery notice dated February 27, 2024 (“the Impugned Notice”). The Impugned Order was passed without issuance of a Show Cause Notice (“SCN”) under Section 73 of the CGST Act and without scheduling a personal hearing in the matter.
Even the summary of SCN was issued in Form GST DRC-01 through e-mail, which is not a prescribed mode of service. The Petitioner gained knowledge about the issuance of the Impugned Order pursuant to the issuance of Impugned Notice for recovery, on February 29, 2024. Further, even otherwise, the assessment qua issue adjudicated in the Impugned Order had been re-opened by way of issuing scrutiny notice in Form GST ASMT-10 dated January 05, 2024 and notice in Form GST DRC-01 dated January 30, 2024. The Petitioner duly participated in said re-opened proceedings by way of submitting his representation(s) and the demands were dropped qua said issue in entirety, after considering the representations made by the Petitioner.
