Case Law Details
Future Generali India Insurance Company Limited Vs Goods And Service Tax Officer (GSTO) Ward 203 & Anr (Delhi High Court)
In a significant judgment, the Delhi High Court addressed the handling of taxpayers’ replies in the case of Future Generali India Insurance Company Limited Vs. Goods and Service Tax Officer (GSTO) Ward 203 & Anr. The court ruled that the taxpayer’s detailed responses could not be dismissed without proper justification. This decision highlights the importance of thorough consideration by tax authorities when dealing with taxpayers’ submissions under the Central Goods and Services Tax Act, 2017.
On April 29, 2024, the Delhi High Court scrutinized an order issued by the GSTO Ward 203, which had dismissed the detailed replies submitted by Future Generali India Insurance Company Limited regarding a Show Cause Notice (SCN) dated December 9, 2023. The SCN proposed a demand of ₹11,50,530.00, and the subsequent order included penalties under Section 73 of the CGST Act, 2017.
The petitioner had filed two detailed replies on January 9, 2024, and February 27, 2024, addressing each ground of the SCN with supporting documents. Despite this, the impugned order stated that the taxpayer had not properly replied or filed their explanations, leading to the demand and penalty confirmation.
The Delhi High Court found that the Proper Officer’s order was unsustainable as it failed to consider the detailed replies on their merits. The court noted that if the Proper Officer required further details, it should have been explicitly requested from the petitioner, which was not done in this case. The court emphasized that the Proper Officer had not applied his mind to the replies submitted, rendering the order unjustified.
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