M/S Emtex Engineering PVT. LTD. vs. State Of Haryana And Others
Facts
M/s Emtex Engineering Private Limited, the petitioner, is challenging a recovery notice dated 3.2.2021 issued by respondent no. 4. This notice sought to initiate coercive steps for recovering alleged unpaid Value Added Tax of ₹12,01,74,741/- and ₹19,652/- as Central Sales Tax. These amounts arose from an ex-parte assessment order and demand notice, both dated 19.3.2020, pertaining to the Financial Year 2016-17. The petitioner contends that these assessment order and demand notice were never served upon them, nor was any opportunity of hearing granted. The petitioner also states that the recovery notice itself was not served on them or their tax consultant. The petitioner sought permission to withdraw the writ petition to file a fresh one with better particulars.
Held
The Court did not render a decision on the merits of the case. At the time of hearing, the learned counsel for the petitioner sought permission to withdraw the present writ petition to enable his client to file a fresh one with better particulars. Consequently, the Court dismissed the petition as withdrawn, granting the petitioner the liberty to file a fresh petition. No specific findings were made on the validity of the assessment order, demand notice, or recovery notice, nor were any operative directions issued beyond permitting the withdrawal. The issue of non-service and violation of natural justice was not adjudicated upon.
Key Issues
1. Whether the ex-parte assessment order and demand notice dated 19.3.2020, pertaining to the Financial Year 2016-17, are liable to be quashed on the grounds of non-service and violation of principles of natural justice, as argued by the petitioner? The petitioner contended that the assessment order and demand notice were never served upon them, and no opportunity of hearing was provided, rendering them void ab initio. They further argued that the subsequent recovery notice was also not served. The revenue or State did not record any arguments in this regard as the matter was withdrawn at the hearing stage. The petitioner relied on the principle that any order passed without affording an opportunity of hearing is a nullity.
AI-generated summary — verify with the full judgment below
-1- IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH Date of decision : 12.3.2021 M/s Emtex Engineering Private Limited .... Petitioner versus State of Haryana and others
... Respondents Coram: Hon'ble Mr. Justice Jaswant Singh Hon'ble Mr. Justice Sant Parkash Present Mr. Sandeep Chilana, Advocate and Mr. Devang Bhasin, Advocate, for the petitioner. Jaswant Singh, J. (Oral) The petitioner - a private limited company is inter alia engaged in the business of trading of Machine tools, Spare parts and Accessories through online and offline mode. The case of the petitioner company is that it duly uploaded and filed the statutory VAT/CST Returns for the Financial Year 2016-17 in time. After the enactment of Goods and Service Tax, the petitioner-company got itself registered with GST wherein all updated details with respect to Email ID, phone number, address, etc. were provided. The petitioner company is challenging the impugned recovery notice dated 3.2.2021 issued by respondent no. 4 for initiating coercive steps to recover alleged unpaid Value Added Tax of ` 12,01,74,741/- as ` 19,652/- as Central Sales Tax arising out of ex-par
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