Sfmc Projects Private Limited vs. Union Of INDIA And Others

Facts

The petitioner, SFMC Projects Private Limited, filed a writ petition before the Punjab and Haryana High Court challenging the validity of service of a notice and an order-in-original uploaded on the common GST portal. The petitioner contended that such uploading did not constitute proper service. The revenue argued that if the petitioner had knowledge of the notice and contested the proceedings, service could not be deemed insufficient merely due to uploading on the portal. The core of the dispute revolves around the interpretation of Section 169 read with Section 146 of the Central Goods and Services Tax Act, 2017, concerning the modes of service of notices and orders.

Held

The Court held that service of a Show Cause Notice (SCN) upon the petitioner/assessee cannot be deemed sufficient merely on account of its uploading on the Common Portal, unless its receipt is acknowledged or a reply is filed. Where an SCN is served only by way of uploading it on the Common Portal and an ex parte order is passed in the absence of a reply, the proceedings would stand restored to the stage of issuance of SCN. The petitioner would be at liberty to file a reply within four weeks, after which the Department shall proceed further after affording a hearing. In cases where the order-in-original is passed after contest and served only by uploading on the portal, the period of limitation for filing an appeal would not be triggered, and the assessee would have the right to file an appeal within four weeks. If appeals against such orders were dismissed on limitation, the Appellate Court's order would be set aside, and the appeal restored. The Court relied on its previous decision in CWP-27139-2025 titled Luxmi Traders v/s Union Territory of Chandigarh and Others.

Key Issues

1. Whether uploading of a notice and an order-in-original on the common portal (www.gst.gov.in) amounts to proper service on the petitioner under Section 169 read with Section 146 of the Central Goods and Services Tax Act, 2017? Petitioner's Contention: The petitioner argued that mere uploading of notices and orders on the common portal does not constitute proper service. Revenue's Contention: The revenue contended that if the person concerned has knowledge of the uploaded notice and has contested the proceedings by filing a reply, the notice cannot be considered as not served. In such cases, the order-in-original cannot be challenged solely on the ground of defective service by uploading on the common portal.