Gyana Ranjan Senapati vs. The CT And GST Officer, Bbsr

Held

The Court held that the order dated 2nd December 2020 passed by the Additional CT & GST Officer was indeed passed without a proper show cause notice and hearing, a fact that could not be disputed by the revenue. This violated the principles of natural justice. Consequently, the Court set aside the impugned order. The Petitioner was directed to appear before the Additional CT and GST Officer on 10th January 2022 at 11 AM for a hearing. The Officer was then directed to pass a consequential order in accordance with law within three months thereafter. The Petitioner was also informed that if aggrieved by the subsequent decision, they could seek appropriate remedies. No specific amount in dispute was mentioned in the judgment.

Facts

The Petitioner, Sri Gyana Ranjan Senapati, challenged an order dated 2nd December 2020 passed by the Additional CT & GST Officer, CT & GST Circle, Bhubaneswar-I Circle. The Petitioner contended that this order was passed without issuing a show cause notice or providing a hearing, despite the Petitioner having filed a reply on 24th January 2020 to a notice dated 27th December 2019. The Opposite Parties, represented by the learned Additional Standing Counsel, were unable to dispute these facts. The dispute concerns the procedural fairness of the order passed by the tax authority.

Key Issues

1. Whether the order dated 2nd December 2020 passed by the Additional CT & GST Officer is vitiated due to the absence of a show cause notice and a proper hearing to the Petitioner, thereby violating principles of natural justice, as contemplated under the relevant provisions of the GST Act and Rules? Petitioner's Contention: The Petitioner argued that the order was passed without a show cause notice and a hearing, despite a reply being filed to a prior notice. This procedural lapse renders the order invalid. Revenue's Contention: The revenue was unable to dispute the Petitioner's assertion regarding the lack of a show cause notice and hearing.