Goldwin vs. The Deputy State Tax Officer

Facts

The petitioner, Goldwin, filed a writ petition before the Madurai Bench of the Madras High Court challenging an assessment order dated August 22, 2024, passed by the respondent, The Deputy State Tax Officer, Nagercoil. The order pertains to the Assessment Year 2019-2020. The petitioner contended that the assessment order was passed without providing sufficient opportunity and that the show cause notice was not served, violating principles of natural justice. The respondent argued that a show cause notice was issued on May 24, 2024, followed by reminders, and that the petitioner has an alternative appeal remedy under Section 107 of the GST Act, 2017.

Held

The Court noted the submission by the learned Government Advocate that the petitioner has an appeal remedy before the appellate Deputy Commissioner (GST), Madurai and Tirunelveli, under Section 107 of the GST Act, 2017. Consequently, the writ petition was disposed of with liberty granted to the petitioner to approach the appellate authority. The petitioner was permitted to raise all grounds raised in the writ petition before the appellate authority. The Court directed that if an appeal is filed within two weeks from the date of receipt of the order, the appellate authority shall entertain the appeal without reference to the period of limitation and dispose of it in accordance with law within three months thereafter. No order as to costs was made.

Key Issues

1. Whether the assessment order dated August 22, 2024, passed by the respondent for the Assessment Year 2019-2020 is liable to be quashed on the ground of violation of principles of natural justice, specifically the non-service of the show cause notice, as contended by the petitioner? 2. Whether the petitioner has an effective alternative remedy under Section 107 of the GST Act, 2017, as submitted by the respondent? Petitioner's Contention: The petitioner argued that the assessment order was passed without sufficient opportunity and that the show cause notice was not served, thus violating the principles of natural justice. Respondent's Contention: The respondent contended that a show cause notice was issued on May 24, 2024, followed by reminders on July 3, 2024, July 9, 2024, and August 6, 2024, and that the petitioner has an appeal remedy under Section 107 of the GST Act, 2017, before the appellate Deputy Commissioner (GST).