M/S Mahal Int Udyog vs. The State Of Bihar

Held

The Court held that in similar circumstances, a Co-ordinate Bench of the High Court had remanded the matter back to the Assessing Authority for passing a fresh order after providing an adequate opportunity of hearing to the petitioner. Consequently, the Court set aside the impugned appellate order dated 04.01.2025 and the ex-parte assessment order dated 13.09.2023. The matter was remitted back to the Assessing Authority to undertake fresh steps for passing a fresh order strictly in accordance with the provisions of the Bihar Goods and Services Tax Act, 2017, and in light of the cited judgment. The Assessing Authority was directed to provide an adequate opportunity of hearing to the petitioner and pass a final order within six months from the date of receipt of a copy of the order. The Court did not expressly leave any issue undecided.

Facts

The petitioner, M/s Mahal Int Udyog, engaged in the brick kiln business, filed a writ application challenging an appellate order dated 04.01.2025 and an ex-parte assessment order dated 13.09.2023. These orders pertained to the tax periods from 2018-19 to 2021-22. The petitioner contended that the assessment was made on an estimated basis. The petitioner relied on a previous judgment by a Co-ordinate Bench of the same High Court in the case of M/s King Bricks versus State of Bihar, where a similar matter was remanded for fresh assessment after providing an adequate opportunity of hearing. The State's counsel did not dispute the petitioner's submissions.

Key Issues

1. Whether the ex-parte assessment order dated 13.09.2023 and the appellate order dated 04.01.2025, passed for the period 2018-19 to 2021-22, are liable to be set aside on the grounds that the assessment was made on an estimated basis without providing adequate opportunity of hearing to the petitioner? Petitioner's Argument: The petitioner argued that the assessment was made on an estimated basis and that a Co-ordinate Bench of the High Court in M/s King Bricks versus State of Bihar had remanded a similar case for fresh assessment after granting an adequate opportunity of hearing. Therefore, the present writ application should be disposed of in terms of that judgment. Revenue's Argument: The learned counsel appearing for the State did not dispute the submissions made by the petitioner's counsel and agreed that the writ petition could be disposed of in light of the aforementioned judgment.