M/S Sagar Readymade Thru. Proprietor Shrawan Kumar Chainani vs. State Of U.P. Thru. Prin. Secy. Deptt. Of Tax And Registration Lko. U.P. And 2 Others
Original PDF →Facts
The petitioner, M/s Sagar Readymade, challenged an order dated 08.04.2025, which dismissed their appeal, and an earlier order dated 17.08.2024 passed under Section 73 of the GST Act. The petitioner contended that they were not granted an opportunity of hearing. They pointed out that the initial summary of the show-cause notice indicated a personal hearing and reply date of 13.06.2024. The respondent, State of U.P., argued that a reminder notice showed different dates, as evidenced by a document on record. The petitioner countered that the notices were uploaded in an 'additional tab' and not the designated 'notices' tab.
Held
The Court held that the impugned orders dated 17.08.2024 and 08.04.2025 were passed without affording the petitioner an adequate opportunity of hearing. The Court found that the procedural irregularities concerning the dates of hearing and the manner of uploading notices meant that the petitioner was not given a proper chance to present their case. The Court also noted that this issue was covered by its previous judgment in Ola Fleet Technologies Private Limited (supra). Consequently, the Court quashed both impugned orders. The matter was remanded to the assessing authority to pass a fresh order after providing the petitioner with a proper opportunity of hearing. The petition was allowed in these terms.
Key Issues
1. Whether the impugned orders dated 17.08.2024 and 08.04.2025 were passed without affording the petitioner an adequate opportunity of hearing, thereby violating principles of natural justice? The petitioner argued that no proper opportunity of hearing was provided, citing discrepancies in the dates of hearing and reply and the manner of notice upload. The respondent contended that a reminder notice with different dates was issued, suggesting an opportunity was provided. 2. Whether the petitioner's case is covered by the judgment of this Court in Ola Fleet Technologies Private Limited v. State of UP and 2 Ors. (dated 22.07.2024)? The petitioner relied on this precedent, arguing it addressed similar procedural irregularities concerning notice dissemination. The respondent did not record any specific argument on this point.
Sections Cited
Section 73
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2025:AHC-LKO:21879 Court No. - 6 Case :- WRIT TAX No. - 351 of 2025 Petitioner :- M/S Sagar Readymade Thru. Proprietor Shrawan Kumar Chainani Respondent :- State Of U.P. Thru. Prin. Secy. Deptt. Of Tax And Registration Lko. U.P. And 2 Others Counsel for Petitioner :- Arpit Dwivedi,Aayush Pankaj Tiwari,Subhash Pandey Counsel for Respondent :- C.S.C. Hon'ble Pankaj Bhatia,J.
Heard learned counsel for the petitioner and learned Standing Counsel for the State.
Present petition has been filed challenging an order dated 08.04.2025 whereby the appeal preferred by the petitioner was dismissed as well as the order dated 17.08.2024 passed under Section 73 of GST Act.
Contention of learned counsel for the petitioner is that no opportunity of hearing was granted to the petitioner. He argues that initially in the summary of the show-cause notice, the date of personal hearing was fixed as 13.06.2024 and the date of reply was also fixed on the same date i.e. 13.06.2024. 4. Learned Standing Counsel, based upon instructions and documents on records, argues that in the reminder notice, the two dates were different as is evident from the document contained in Annexure - 7. 5. Learned counsel for the petitioner in rejoinder states that the notices were uploaded in 'additional tab' and not in the tab depicting notices, and places reliance on the judgment of this Court dated 22.07.2024 passed in Writ Tax No.855 of 2024 (Ola Fleet Technologies Private Limited v. State of UP and 2 Ors.).
Considering and finding that the orders impugned have not been passed after affording an opportunity of hearing and the issue being covered by the judgment of this Court in the case of Ola Fleet Technologies Private Limited (supra), the impugned orders dated 17.08.2024 & 08.04.2025 are quashed.
Matter is remanded to the assessing authority to pass fresh order after giving an opportunity of hearing to the petitioner.
Present petition stands allowed in above terms. Order Date :- 18.4.2025/nishant NISHANT MOHAN High Court of Judicature at Allahabad, Lucknow Bench
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.