M/S Medicaid vs. The Additional Commissioner (St) (Fac)
Held
The Court held that the consolidated assessment order was unsustainable as it violated principles of natural justice by not considering the petitioner's reply. It further ruled that a single show cause notice or composite assessment order cannot be passed for more than one tax period, citing a co-ordinate bench decision. The impugned orders were set aside, allowing the proper officer to issue separate notices for relevant tax periods and proceed afresh.
Facts
The petitioner challenged a consolidated GST assessment order (DRC-07) issued for multiple tax periods (2019-20 to 2023-24) without considering their reply and lacking a DIN, along with subsequent appeal rejection orders. The assessment order was challenged on grounds of violation of natural justice and being a composite order for several tax periods.
Key Issues
Whether a consolidated GST assessment order covering multiple tax periods is legally sustainable, and whether an assessment order passed without considering the taxpayer's reply violates principles of natural justice.
Sections Cited
Section 73(3), Section 74(3), Section 74(4), Section 128 of APGST Act
AI-generated summary — verify with the full judgment below
Cause title — parties, addresses and appearances
The Court made the following common order: (per Hon’ble Sri Justice Ninala Jayasurya)
Both these writ petitions arise out of the same issue and relate to the same tax period, they are being disposed of by way of this common order.
Petitioner, is registered under the provisions of the GST Act, 2017, is engaged in the business of Antibiotics – Penicillin and their derivatives. Aggrieved by the Assessment Order passed by the 2nd respondent vide Assessment and Adjudication Order in DRC-07 dated 30.07.2024, in a consolidated manner for the tax periods 2019-20 to 2023-24, without affixing any DIN, and t
The judgment continues below.
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