RioCare India Private Limited Vs Assistant Commissioner CGST and C.Ex. & Ors. (Bombay High Court)
Bombay High Court ruled in the case of RioCare India Private Limited vs. Assistant Commissioner CGST and C.Ex. that a single show cause notice (SCN) under Section 74 of the Central Goods and Services Tax (GST) Act, 2017, can be issued for multiple financial years. RioCare India had challenged a notice dated December 4, 2024, covering the period from July 1, 2018, to March 31, 2023, arguing that separate notices should have been issued for each financial year. The petitioner sought to have the notice quashed and requested that authorities be restrained from acting upon it.
The court, however, found no restriction in Section 74 that would prevent the tax authorities from issuing a consolidated notice for multiple years. It noted that the provision allows authorities to demand unpaid or short-paid taxes, erroneous refunds, or improperly availed input tax credits due to fraud, misstatements, or suppression of facts. The court also observed that there was no issue of limitation under Section 74(10) in this case. Consequently, it dismissed the petition, stating that the petitioner must respond to the SCN and present arguments before the appropriate authority. No costs were imposed, and the order was digitally signed for official record-keeping.
