Devendra Construction Vs Deputy Commissioner (Supreme Court of India)
The petitioner challenged an order dated 08.07.2025 passed under Section 74 of the UKGST Act. Before the Uttarakhand High Court, the petitioner sought examination of the challenge, but the High Court declined to entertain the writ petition on the ground that an alternative statutory remedy of appeal was available under Section 107 of the Act. The High Court accordingly dismissed the writ petition, holding that entertaining it would permit the petitioner to bypass the statutory appellate remedy.
The matter was subsequently placed before the Supreme Court. The petitioner submitted that the same demand was already pending in an appeal before the Joint Commissioner (Appeals), while a related show cause notice dated 21.02.2025 had been issued under Section 74 of the Central Goods and Services Tax Act, 2017. It was contended that issuance of the show cause notice in these circumstances involved a jurisdictional error which, according to the petitioner, had been overlooked by the High Court.
The Supreme Court, after hearing learned counsel for the petitioner, issued notice returnable on 29.09.2026. In the meanwhile, the Supreme Court directed that further proceedings pursuant to the show cause notice dated 21.02.2025 shall remain stayed. The supplied Supreme Court order does not record a final determination on the alleged jurisdictional error or finally dispose of the challenge. Thus, while the High Court had dismissed the writ petition on the availability of the statutory appeal under Section 107, the Supreme Court subsequently ordered an interim stay of further proceedings pursuant to the specified Section 74 show cause notice pending further proceedings before it.
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
1. We have heard learned counsel for the petitioner.
2. Learned counsel for the petitioner submits that for the same demand which is now pending in appeal before the Joint Commissioner (Appeals), the related show cause notice under Section 74 of the Central Goods and Services Tax Act, 2017 has been issued.
3. In such circumstances, there is a jurisdictional error in issuance of the show cause notice, which has been overlooked by the High Court.
4. Issue notice, returnable on 29.09.2026.
5. In the meanwhile, there shall be stay of further proceedings pursuant to show cause notice dated 21.02.2025.
