M/S Shiv Ganga Enterprises vs. State Of U.P. And Another

Facts

The petitioner, M/s Shiv Ganga Enterprises, filed a writ petition challenging an order dated 26.04.2024 passed by the Assistant Commissioner, State Tax, Sector-1, Varanasi, under Section 73 of the Goods and Services Tax Act, 2017. The petitioner contended that the notice dated 23.12.2023, and consequently the order, were uploaded on the 'Additional Notices and Orders' tab of the GST portal, rather than the 'Due Notices and Orders' tab. As a result, the petitioner claimed to be unaware of the proceedings and unable to appear before the authority or challenge the order within the limitation period. The respondent, State of U.P. and Another, did not dispute these contentions regarding the uploading of the notice and order.

Held

The Court allowed the writ petition, quashing and setting aside the impugned order dated 26.04.2024 passed by the Assistant Commissioner, State Tax, Sector-1, Varanasi. The Court relied on its previous decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, which dealt with a similar situation where notices and orders were uploaded on the 'Additional Notices and Orders' tab instead of the 'Due Notices and Orders' tab. The reasoning was that such uploading did not constitute proper communication, thereby prejudicing the petitioner's right to respond and seek remedies within the limitation period. The Court found that the petitioner was entitled to the benefit of doubt. The operative direction was for the Assessing Officer to issue a fresh notice to the petitioner with at least 15 days' clear notice, in the manner prescribed by law, and to conduct further proceedings based on this fresh notice. The Court noted that the issue of whether all replies and annexures filed by the assessee were displayed to and considered by the assessing officer was also a point of dispute in the Ola Fleet Technologies case, but the present case was decided on the communication aspect.

Key Issues

1. Whether the uploading of the notice and order on the 'Additional Notices and Orders' tab of the GST portal, instead of the 'Due Notices and Orders' tab, constitutes proper communication to the petitioner, thereby impacting their ability to respond and seek remedies within the prescribed limitation period, as contemplated under Section 73 of the Goods and Services Tax Act, 2017? Petitioner's Contention: The petitioner argued that the uploading of the notice and order on the 'Additional Notices and Orders' tab prevented them from being aware of the proceedings and the impugned order. They relied on the High Court's decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, where a similar issue led to a remand. Respondent's Contention: The learned counsel for the Department, based on the material on record, did not dispute the petitioner's contentions regarding the uploading of the notice and order on the 'Additional Notices and Orders' tab. They acknowledged that the issue was covered by the judgment in Ola Fleet Technologies Pvt. Ltd.