M/S Mohit Impex vs. State Of U.P. And Another
Held
The Court held that a writ petition cannot be entertained to quash show cause notices under Section 74(1) of the CGST/UPGST Act unless they are shown to be without jurisdiction. Since the petitioner's counsel admitted that the notices were not without jurisdiction, there was no good reason to entertain the writ petition. The Court dismissed the petition, leaving it open for the petitioner to submit their objections or reply before the Assessing Authority, provided the show cause notices had not yet been adjudicated. The ratio decidendi is that writ jurisdiction is not to be exercised to interfere with show cause notices that are within the authority's jurisdiction and have not yet reached adjudication.
Facts
The petitioner, M/s Mohit Impex, filed a writ petition seeking a mandamus to drop proceedings under Section 74(1) of the GST Act for the assessment years 2019-20 and 2020-21. The proceedings were initiated by two show cause notices dated May 18, 2022. The petitioner did not seek to quash these notices. The petitioner's counsel admitted that the notices were not without jurisdiction. The Court considered the matter based on the available record.
Key Issues
1. Whether the writ petition is maintainable for seeking a mandamus to drop proceedings initiated by show cause notices under Section 74(1) of the GST Act, when the notices are not alleged to be without jurisdiction? Petitioner's Contention: The petitioner sought a mandamus to drop the proceedings under Section 74(1) of the GST Act. Respondent's Contention: The learned Standing Counsel for the respondent did not record any specific arguments in the judgment. However, the Court's dismissal implies a rejection of the petitioner's prayer on the grounds of maintainability and the stage of proceedings.
Sections Cited
Section 74(1)
AI-generated summary — verify with the full judgment below
Court No. - 3 Case :- WRIT TAX No. - 1030 of 2022 Petitioner :- M/S Mohit Impex Respondent :- State of U.P. and Another Counsel for Petitioner :- Shubham Agrawal Counsel for Respondent :- C.S.C.
Hon'ble Surya Prakash Kesarwani,J.
Hon'ble Jayant Banerji,J.
Heard Shri Shubham Agrawal, learned counsel for the petitioner and the learned Standing Counsel for the respondents.
This writ petition has been filed praying for a mandamus to the respondent no. 2 to drop the proceedings under Section 74(1) of the GST Act for the assessment year 2019-20 and 2020-21. A perusal of the record of the writ petition reveals that the aforesaid proceedings, in fact, relate to two show cause notices, both dated 18.5.2022 issued for the A.Y. 2019-20 and A.Y. 2020-21. Neither there is any prayer to quash the show cause notices nor a show cause notice under Section 74(1) of the CGST/UPGST Act can be quashed unless it is shown to be without jurisdiction.
At this stage, the learned counsel for the petitioner admits before us that the notices are not without jurisdiction.
In view of the aforesaid, we do not find any good reason to entertain this writ petition. Consequently, the writ petition is dismissed leavin
The judgment continues below.
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