M/S Vinyl Tubes PVT. LTD. vs. The Assistant Commissioner CGST & Central Excise Commissionerate
Original PDF →Facts
The petitioner, M/s Vinyl Tubes Pvt. Ltd., filed a writ petition challenging an Order in Original dated 18.02.2025 for the financial year 2020-21, passed by the Assistant Commissioner, CGST & Central Excise, Commissionerate Agra. The petitioner contended that for the same period, another order had already been passed under Section 74 of the CGST Act for the combined period from July 2017 to June 2021. Furthermore, the petitioner claimed that personal hearing notices were received after the scheduled hearing dates, preventing their appearance. Consequently, the impugned order was passed ex-parte. The petitioner sought to have this order quashed and set aside, requesting an opportunity to present their submissions.
Held
The High Court held that the impugned Order in Original dated 18.02.2025 is quashed and set aside. The Court found merit in the petitioner's submission that proper hearing was not granted, as the personal hearing notices were received subsequent to the scheduled hearing dates, leading to an ex-parte order. The Court also acknowledged the principle that assessment for the same period cannot be made twice unless it relates to different issues, though it did not delve into the merits of this aspect. The Court directed the concerned Officer to grant an opportunity of hearing to the petitioner and thereafter pass a reasoned order in accordance with law. The petitioner was directed to file their reply within two weeks, after which the department should issue a notice for personal hearing.
Key Issues
1. Whether the impugned ex-parte Order in Original dated 18.02.2025, passed by the Assistant Commissioner, CGST & Central Excise, Commissionerate Agra, for the financial year 2020-21, is liable to be quashed and set aside on the grounds of procedural irregularities and violation of principles of natural justice? (Mixed question of law and fact, concerning principles of natural justice and potentially Section 74 of the CGST Act). Petitioner's arguments: The petitioner argued that the ex-parte order should be quashed because they did not receive proper notice for the personal hearing, with the notices arriving after the hearing dates. They also pointed out that an order for a similar period had already been passed under Section 74, suggesting a potential issue with dual assessments for the same period. They sought an opportunity to make their submissions before the authorities. Respondent's arguments: The judgment does not record any specific arguments made by the respondent (The Assistant Commissioner CGST & Central Excise Commissionerate).
Sections Cited
Section 74
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2025:AHC:135006-DB Court No. - 3 Case :- WRIT TAX No. - 3598 of 2025 Petitioner :- M/S Vinyl Tubes Pvt. Ltd. Respondent :- The Assistant Commissioner Cgst & Central Excise Commissionerate Counsel for Petitioner :- Mohit Singh Counsel for Respondent :- Dhananjay Awasthi Hon'ble Shekhar B. Saraf,J. Hon'ble Praveen Kumar Giri,J.
Heard learned counsel appearing on behalf of the parties.
This is a writ petition under Article 226 of the Constitution of India, wherein the writ petitioner is aggrieved by the Order in Original bearing No. 22/AC/CGST/Mathura/2024-25 dated 18.02.2025 for the financial year 2020-21, passed by the Assistant Commissioner, CGST & Central Excise, Commissionerate Agra.
Learned counsel appearing on behalf of the petitioner submits that for the same period an order has been passed under Section 74 for the combined period from July 2017 to June 2021. She submits that the present order is also for the same period. Apart from this submission, counsel on behalf of the petitioner has indicated to this Court that the personal hearing notices were received by the petitioner subsequent to the date of hearing and, therefore, submits that they could not appear for the personal hearing.
The impugned order is, accordingly, an ex-parte order and it is submitted that the same should be quashed and set aside with an opportunity granted to the petitioner to make its submission before the authorities.
It is trite law that assessment for the same period cannot be made by the authorities twice unless it relates to two different issues. In the present case, we are also of the view that proper hearing was not granted to the petitioner.
In light of the same, without going into the merits of the case, the aforesaid order in original dated 18.02.2025 is quashed and set aside. We direct the Officer concerned to grant an opportunity of hearing to the petitioner and thereafter pass an order in accordance with law.
The petitioner is directed to file their reply within a period of two weeks from the date. After two weeks, a notice for personal hearing should be granted by the department and a reasoned order should be passed in accordance with law.
The petitioner shall be at liberty to raise all grounds before the authorities concerned.
With the above directions, the writ petition is disposed of. Order Date :- 11.8.2025 K.Tiwari (Praveen Kumar Giri, J.) (Shekhar B. Saraf, J.) KRISHNA KANT TIWARI High Court of Judicature at Allahabad
Reproduced from the public record of the Allahabad High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.