Cotton Corporation of India Vs Assistant Commissioner (ST) (Audit) (FAC) (Andhra Pradesh High Court)
Notice issued beyond time limit set out u/s. 73(2) of CGST Act is bad-in-law: Andhra Pradesh High Court
Andhra Pradesh High Court held that time permit set out under section 73(2) of the Central Goods and Services Tax Act [CGST Act] is mandatory and any violation of that time period renders show cause notice bad-in-law.
Facts- The petitioner is registered under the APGST Act, 2017. It received a show cause notice, dated 30.11.2024, in relation to the assessment year 2020- 2021, calling upon the petitioner to show cause why an assessment should not be carried out in relation to short payment of tax etc. Notice was issued under Section 73(1) r/w Rule 142 of the APGST Rules. The aforesaid notice, is challenged by the petitioner in the present Writ Petition.
Petitioner has mainly contested that the notice was issued on 30.11.2024 is beyond the time stipulated under Section 73(2) of the GST Act.
Conclusion- Held that the time permit set out under 73(2) of the Act is mandatory and any violation of that time period cannot be condoned, and would render the show cause notice otiose. Accordingly, this Writ petition is allowed quashing the show cause notice, dated 30.11.2024, issued by the 1st respondent, under Section 73 of the Central Goods and Services Tax Act and Andhra Pradesh Goods and Services Tax Act, 2017. There shall be no order as to costs.
