Vindwasni Enterprises vs. Commercial Tax Officer State Tax Sector - 8 Noida Gautam Budh Nagar Uttar Pradesh And 2 Others

Facts

The petitioner, Vindwasni Enterprises, challenges an order dated 23.04.2024 passed by the Commercial Tax Officer, Sector-8, Noida, under Section 73 of the Goods and Service Tax Act, 2017, creating a demand against them. The petitioner contends that notices and orders were uploaded on the 'Additional Notices and Orders' tab of the GST portal, rather than the 'Due Notices and Orders' tab. Consequently, the petitioner claims to have been unaware of the notices and the impugned order, preventing them from appearing before the authority or challenging the order within the limitation period. The respondent, represented by the Commercial Tax Officer and others, did not dispute the factual contention regarding the upload location of the notices and orders.

Held

The Court allowed the writ petition, quashing and setting aside the impugned order dated 23.04.2024 passed by the Commercial Tax Officer. The Court found that the petitioner's contention regarding the uploading of notices and orders on the 'Additional Notices and Orders' tab, rather than the 'Due Notices and Orders' tab, was not disputed by the respondent. This fact, coupled with the precedent set in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others, led the Court to conclude that the petitioner was entitled to the benefit of doubt. The Court reasoned that improper communication prevented the petitioner from availing their remedies within the limitation period. The ratio decidendi is that if statutory notices and orders are not uploaded on the designated and commonly accessed tab for assessees, it amounts to a lack of proper communication, entitling the assessee to relief. The Assessing Officer was directed to issue a fresh notice to the petitioner with at least 15 days' clear notice, and further proceedings were to take place thereafter.

Key Issues

1. Whether the uploading of notices and orders on the 'Additional Notices and Orders' tab of the GST portal, instead of the 'Due Notices and Orders' tab, constitutes proper communication to the assessee, thereby affecting the limitation period for challenging such orders, under Section 73 of the Goods and Service Tax Act, 2017? Petitioner's Arguments: The petitioner argued that the notices and the impugned order were not properly communicated as they were uploaded on the 'Additional Notices and Orders' tab, making them unaware of the proceedings. They relied on the High Court's decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others and M/s Mohini Traders Vs. State of U.P. and Another, where similar issues led to a remand. Respondent's Arguments: The respondent, through the Standing Counsel, did not dispute the factual contention regarding the upload location. While initially stating that the assessing officer has no choice in selecting the tab and that the GST Network might be responsible, they ultimately did not contest the petitioner's claim based on the precedent set in Ola Fleet Technologies Pvt. Ltd.