M/S Balaji Metals vs. State Of U.P. And Another

Facts

The petitioner, M/s Balaji Metals, filed a writ petition challenging an order dated December 30, 2023, passed by the Deputy Commissioner, State Tax, Sector-6, Jhansi, under Section 73 of the Goods and Service Tax Act, 2017. The petitioner contended that the notices and orders were uploaded on the 'Additional Notices and Orders' tab of the GST portal, not the 'Due Notices and Orders' tab. Consequently, the petitioner was unaware of the proceedings and could not appear before the authority or challenge the orders within the limitation period. The respondent-State did not dispute these contentions regarding the uploading of notices and orders.

Held

The Court held that the petitioner is entitled to the benefit of doubt. The Court found that the impugned order was not reflecting under the 'view notices and orders' tab, which is crucial for proper communication to the assessee. The Court noted that the respondent did not dispute this factual aspect. Relying on its previous judgment in Ola Fleet Technologies Pvt. Ltd. (Supra), the Court quashed and set aside the impugned order dated December 30, 2023. The Court directed the Assessing Officer to issue a fresh notice to the petitioner with at least 15 clear days' notice, in accordance with the law, and to proceed further based on that notice. The Court found no useful purpose in keeping the petition pending or relegating the petitioner to statutory remedies, especially as the disputed amount was stated to be lying in deposit.

Key Issues

1. Whether the uploading of notices and orders on the 'Additional Notices and Orders' tab of the GST portal, instead of the 'Due Notices and Orders' tab, constitutes due communication to the petitioner, thereby affecting their ability to respond within the limitation period, as per Section 73 of the Goods and Service Tax Act, 2017? Petitioner's Argument: The petitioner argued that the notices and orders were not uploaded in the prescribed manner, specifically not appearing under the 'view notices and orders' tab. This failure in proper communication prevented them from seeking appropriate remedies within the statutory limitation period. They relied on the High Court's decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others and M/s Mohini Traders Vs. State of U.P. and Another. Respondent's Argument: The respondent, through the learned Standing Counsel, did not dispute the factual contention regarding the tab where the notices and orders were uploaded. They indicated that the assessing officer has no control over which tab the GST Network uploads the documents to, suggesting the issue might lie with the GST Network itself.