Sonex Engineers Co-Operative Society LTD. And Anr. vs. Assistant Commissioner Of Revenue And Ors.
Original PDF →Facts
The petitioner, Sonex Engineers Co-operative Society Ltd. & Anr., has filed a writ petition challenging a show-cause notice dated 21st February, 2024, issued by the Assistant Commissioner of Revenue & Ors. The petitioner contends that the show-cause notice is without jurisdiction and in violation of Instruction No.05/2023-GST dated 13th December, 2023, issued by the CBIT and Customs. The CBIT authority/respondent no.5 was served but did not appear. The WBGST authority was represented. The Court was inclined to dispose of the writ petition with a limited direction.
Held
The Court held that while it is generally reluctant to interfere with show-cause notices, it was inclined to dispose of this writ petition due to the petitioner's challenge to the legality and jurisdiction of the issuing authority. The Court directed the petitioner to file a reply to the impugned show-cause notice within two weeks, raising all points, including the issue of jurisdiction. The respondent adjudicating authority was directed to first decide the issue of jurisdiction by passing a reasoned and speaking order after providing an opportunity of hearing to the petitioner. This decision on jurisdiction was to be made within two weeks of receiving the petitioner's reply. No coercive action was to be taken against the petitioner until the disposal of the reply. The interim protection would cease if the petitioner failed to file the reply within the stipulated time, allowing the authorities to proceed as per law.
Key Issues
1. Whether the impugned show-cause notice dated 21st February, 2024, is without jurisdiction, thereby violating Instruction No.05/2023-GST dated 13th December, 2023, issued by the CBIT and Customs? Petitioner's arguments: The petitioner argued that the show-cause notice was issued without jurisdiction and in contravention of the aforementioned CBIT instruction. Revenue/State's arguments: The judgment records no specific arguments from the respondent revenue or state authorities regarding the jurisdiction or the instruction. The CBIT authority did not appear to present any arguments.
Sections Cited
Instruction No.05/2023-GST
AI-generated summary — verify with the full judgment below
2024. PB Sl. No.
WPA 6345 of 2024 Sonex Engineers Co-operative Society Ltd. & Anr. Vs Assistant Commissioner of Revenue & Ors. Mr. Debasish Ghosh, Ms. Antara Biswas. … For the Petitioner. Mr. K. K. Maiti, …….for the respondent no.
Mr. A. Ray, Mr. T. Chakraborty, Mr. D. Sahu. …….for the State. The affidavit of service filed in Court today be kept with the record. In spite of service, none represents the CBIT authority/respondent no.
Learned advocate for the WBGST authority is present. Let a copy of the writ petition be served upon Mr. Maiti, who accepts the same on behalf of the respondent no.
The appearance of Mr. Maiti shall be regularized by the authority concerned. Heard learned advocates appearing for the parties. By this writ petition, petitioner has challenged the impugned show-cause notice dated 21st February, 2024, being Annexure P-2 to the writ petition on the 2 ground that the same is without juri iction and is in violation of Instruction No.05/2023-GST dated 13th December, 2023, issued by the CBIT and customs. The writ court is very reluctant to interfere with any show- cause notice, but since petitioner has challenged the legality of the impugned show-cause notice, on the ground of juri iction of the issuing authority, I am inclined to dispose of this writ petition with limited direction that petitioner shall file reply to the impugned show-cause notice by taking all the points raised in this writ petition including the point of juri iction within two weeks from date and the respondent adjudicating authority concerned while disposing such reply to be filed shall first decide the issue of juri iction by passing a reasoned and speaking order after giving opportunity of hearing to the petitioner or its authorized representatives, within two weeks from the date of receipt of such reply to be filed by the petitioner and shall not take any coercive action till the disposal of such reply to be filed. If petitioner fails to file objections/reply to the impugned show-cause notice within the time stipulated herein, this interim protection will not have any force and the respondent authorities concerned will be free to proceed in accordance with law.
3 With this observation and direction, this writ petition being WPA 6345 of 2024 is disposed of. ( Md. Nizamuddin, J.)
Reproduced from the public record of the Calcutta High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.