M/S Hindustan Pipes Sales vs. State Of U.P. And Another
Original PDF →Facts
The petitioner, M/s Hindustan Pipes Sales, is challenging an order dated 16.04.2024 passed by the Assistant Commissioner, State Tax, Kanpur, under Section 73 of the Goods and Services Tax Act, 2017, creating a demand against them. The petitioner contends that the notices and the impugned order were uploaded on the 'Additional Notices and Orders' tab of the GST portal, rather than the 'Due Notices and Orders' tab. Consequently, the petitioner claims they were unaware of the proceedings and could not appear before the authority or challenge the order within the limitation period. The Department, represented by the learned counsel, did not dispute these contentions regarding the upload location of the notices and orders. The Court noted that a similar issue was addressed in the case of Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others.
Held
The Court allowed the writ petition, quashing and setting aside the impugned order dated 16.04.2024 passed by the Assistant Commissioner, State Tax, Kanpur. The Court followed the precedent set in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, which held that if notices and orders are uploaded on the 'Additional Notices and Orders' tab instead of the 'Due Notices and Orders' tab, the petitioner is entitled to the benefit of doubt. The reasoning was that such an upload method does not constitute proper communication, preventing the assessee from availing timely remedies. The Court found no useful purpose in keeping the petition pending or relegating the petitioner to statutory remedies, especially since the disputed amount was already deposited. The ratio decidendi is that proper and transparent communication of tax-related orders through designated portals is essential for natural justice and the assessee's right to be heard. The Assessing Officer was directed to issue a fresh notice to the petitioner with at least 15 days' clear notice, in accordance with law, and thereafter, further proceedings are to take place based on this fresh notice.
Key Issues
1. Whether the uploading of notices and orders on the 'Additional Notices and Orders' tab of the GST portal, instead of the 'Due Notices and Orders' tab, constitutes proper communication to the assessee under the Goods and Services Tax Act, 2017, thereby impacting the limitation period for challenging such orders? Petitioner's Arguments: The petitioner argued that the notices and the impugned order were uploaded on the 'Additional Notices and Orders' tab, making them unaware of the proceedings. This lack of proper notification prevented them from appearing before the authority or filing a challenge within the prescribed time. They relied on the judgment in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, which dealt with a similar issue of improper upload location affecting the assessee's ability to seek remedies. Respondent's Arguments: The learned counsel for the Department did not dispute the petitioner's contentions regarding the upload location of the notices and orders. They acknowledged that the issue raised was covered by the judgment in Ola Fleet Technologies Pvt. Ltd. (supra). The judgment in Ola Fleet Technologies also noted that the assessing officer has no choice in selecting the tab for uploading, and this aspect might need to be addressed by the GST Network.
Sections Cited
Section 73
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2025:AHC:35644-DB Chief Justice's Court Case :- WRIT TAX No. - 651 of 2025 Petitioner :- M/s Hindustan Pipes Sales Respondent :- State of U.P. and another Counsel for Petitioner :- Nagendra Krishna Counsel for Respondent :- C.S.C. Hon'ble Arun Bhansali, Chief Justice Hon'ble Kshitij Shailendra, J.
Supplementary affidavit filed today is taken on record.
This petition is directed against order dated 16.04.2024 passed by the Assistant Commissioner, State Tax, Sector-5, Kanpur under Section 73 of the Goods and Services Tax Act, 2017 whereby demand has been created against the petitioner.
Submission has been made that notices issued under Section 73 of the Act, were uploaded on 'Additional Notices and Orders' Tab of the G.S.T. Portal and consequently, the petitioner being unaware of issuance of the notices as well as passing of the order, could neither appear before the authority nor question the validity of the impugned order within the period of limitation.
Submission has been made that this Court in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, Writ Tax No. 855 of 2024 decided on 22.7.2024 taking note of the said aspect of the matter wherein notices had not been uploaded on the 'Due Notices and Orders' and instead uploaded on 'Additional Notices and Orders', came to the conclusion that the petitioner is entitled to the benefit of doubt and consequently, the matter has been remanded back to the authority.
Learned counsel appearing for the Department, based on the material available on record, does not dispute the contentions raised pertaining to uploading of the notices and orders on the 'Additional Notices and Orders' Tab instead of 'Due Notices and Orders' Tab and the fact that the issue as raised is covered by judgement in the case of Ola Fleet Technologies Pvt. Ltd (supra).
In the case of Ola Fleet Technologies Pvt. Ltd (supra) a Co- ordinate Bench of this Court, inter alia, observed and came to the following conclusion:- "
Ultimately, vide last order dated 05.04.2024 the dispute between the parties boiled down to the issue due communication of the impugned order dated 12.07.2023. The petitioner claims that the same was not uploaded in the manner required inasmuch as the impugned order does not show up on the asseseess portal under the tab "view notices and orders". Rather, it reflects under the other tab for "additional notice and orders".
Thus, according to the learned counsel for the petitioner the petitioner could not seek appropriate remedy against that order, within limitation. Reliance is placed on an earlier order of the Court in Writ Tax No.551 of 2023 (M/s Mohini Traders Vs. State of U.P. and Another) decided
on 03.05.2023
[Neutral
Citation No.2023:AHC:115008-DB].
On the other hand upon written instructions received learned Standing Counsel would contend that the assessing officer is not to blame for any error being cited by the assessee. Referring to the web portal available to the assessing officer, it had been indicated that there is no option/ choice available to the assessing officer to upload the order in the manner that it may reflect under any one of the particular tabs visible to the assessee. On query made, Shri Ankur Agarwal fairly states that if it all issue may have to be addressed by the GST Network a separate entity constituted to design maintain and run the web portal.
At present, it does appear that the petitioner is entitled to a benefit of doubt. No material exist to reject the contention being advanced that the impugned order was not reflecting under the tab "view notices and orders". On merits, as noted in the earlier orders an other dispute exists whether all replies and annexures to the replies as filed by the assessee were displayed to the assessing officer and whether those have been considered. We find, no useful purpose may be served for keeping this petition pending or calling for a counter affidavit or even relegating the petitioner to the available statutory remedy. The entire disputed amount is lying in deposit with the State Government. Therefore, there is no outstanding demand. Accordingly, the writ
petition is disposed of, with a direction, the assessee may treat the impugned order as the final notice and submit his written reply within a period of two weeks. Thereupon the assessing officer may issue a fresh notice to the petitioner in the manner prescribed with at least fifteen days clear notice. The petitioner undertakes to appear on the date fixed. Appropriate reasoned and speaking order may be passed within a further period of one month from the date of service of notice on the petitioner."
In view of the submissions made and the judgement in the case of Ola Fleet Technologies Pvt. Ltd. (supra) the writ petition filed by the petitioner is allowed. The order impugned dated 16.04.2024 passed by the Assistant Commissioner, State Tax, Sector-5, Kanpur (Annexure-1 to the writ petition) is quashed and set aside.
The Assessing Officer may issue a fresh at least 15 days clear notice to the petitioner in the manner prescribed in accordance with law and based on the said notice, further proceedings may take place. Order Date :- 11.3.2025 Jyotsana (Kshitij Shailendra, J) (Arun Bhansali, CJ) JYOTSANA SINGH 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.