Ds Chewing Products LLP Vs Jaint Commissioner Central Goods And Services Tax Commissionerate GST Bhawan (Allahabad High Court)
The petitioner challenged a show-cause notice dated 18.09.2025 issued under Section 73 of the CGST Act, 2017 before the Allahabad High Court. The petitioner contended that the notice contradicted a recent CESTAT decision in Excise Appeal No. 70442 of 2024, decided on 06.08.2025. It argued that the notice was based on a hypothetical premise and that the Revenue could not compel the assessee to conduct its affairs in a manner prescribed by the authorities. The petitioner stated that it had adopted the transactional value method for its manufactured goods and discharged its tax liability accordingly.
The Court noted that no order had been passed by the Adjudicating Authority subsequent to the CESTAT decision in Trimurti Fragrances & Flavours Pvt. Ltd. vs Commissioner, CGST & Central Excise, Kanpur. The Revenue countered that the CESTAT decision was challenged before the Supreme Court in Civil Appeal Diary No. 58081 of 2025, meaning finality had not attached to that order.
The Court observed that the show-cause notice did not suffer from a lack of jurisdiction and that the petitioner was being afforded an opportunity to be heard. The Court held that other issues raised by the petitioner could be examined independently by the Adjudicating Authority. It concluded that it was premature to invoke the principle of judicial discipline at this stage.
