M/S Inner Spaces vs. The Deputy Commissioner Of Central Tax

Heard the learned counsel for the petitioner and the learned Advocate for the respondent and perused the material on record. NC: 2025:KHC:17386

A perusal of the material on record will indicate that the petitioner filed Form GSTR3B for the month of July 2017 to March 2018. On 12.08.2022, the respondent issued Form ASMT-10 notice, calling for explanation as to the difference/discrepancy between Form GSTR3B and Form GSTR2A submitted by the petitioner. Pursuant to the same, the respondent issued show cause notice to the petitioner, who did not submit any rely to the same and consequently, the respondent proceeded to pass the impugned orders at Annexure-C dated 19.12.2023 and Annexure-D dated 29.12.2023, which are assailed in the present petition.

Learned counsel for the petitioner submits that due to bona fide reasons and unavoidable circumstances and sufficient cause, the petitioner could not submit his reply to the show cause notice and the impugned ex-parte orders deserve to be quashed and the matter is remitted back to the respondent for reconsideration of the matter afresh in accordance with law by providing an opportunity NC: 2025:KHC:17386 to the petitioner to submit a reply to the show cause notice and thereafter to pass appropriate orders. It is also submitted that the impugned orders are vitiated on account of non-consideration of the Circular issued by the Central Government, Government of India, bearing No.183/15/2022-GST dated 27.12.2022. It is therefore submitted that the impugned orders deserve to be quashed.

Per contra, learned Advocate for respondent would support the impugned orders and submit that there is no merit in the petition and the same is liable to be dismissed, especially when the petitioner did not exercise his due diligence in participating in the impugned proceedings.

A perusal of the material on record including the impugned orders will indicate that it is an undisputed fact that the petitioner did not respond/reply to the show cause notice and the impugned ex-parte orders have been passed without hearing the petitioner. Under these NC: 2025:KHC:17386 circumstances, in view of the specific assertion on the part of the petitioner that his inability and omission to submit the reply to the show cause notice and participate in the proceedings was due to bona fide reasons, unavoidable circumstances and sufficient cause, by adopting a justice oriented approach and in order to provide one more opportunity to the petitioner, I deem it just and appropriate to set aside the impugned orders and remit the matter back to the respondent for reconsideration afresh in accordance with law by issuing certain directions. In the result, I pass the following: ORDER i) The Writ Petition is allowed;