Facts of the Case

S. Rajendran challenged an Order-in-Original (No. MAD-ST-ASC-138-2022, dated 12.09.2022) passed by the Deputy Commissioner of CGST & Central Excise, Madurai-II Division, contending that he was never put on notice from the show cause notice stage onward, and that the respondents had not complied with Section 37C of the Central Excise Act, 1944, which requires a summons or notice not personally served to be affixed at a conspicuous part of the person's factory, warehouse, place of business, or residence. The petitioner also raised pleas of limitation and double taxation. The respondents produced records showing notices sent to the petitioner's registered address had been returned undelivered (with endorsements such as 'no such door number' or 'insufficient address'), but that the same notices had also been sent by e-mail and were shown as delivered. The petitioner's own case was that he had lived at a particular address in Bibikulam, Madurai for 15 years, and that although the house number had since changed, the Corporation records — and hence his GST registration — still showed the old address.

Issues Involved

  1. Whether notices sent to the address recorded in the petitioner's own GST registration, and separately delivered by e-mail, amounted to valid service despite postal returns.
  2. Whether the impugned order was liable to be set aside on grounds of improper service, limitation, or double taxation.

Petitioner's Arguments

  • The petitioner was never served with the show cause notice or the impugned order, and only learned of the order through a mobile phone message.
  • Section 37C of the Central Excise Act, 1944 required the notice to be affixed at a conspicuous place if not personally served, which was not done.
  • The petitioner separately raised pleas of limitation and double taxation.

Respondent's Arguments

  • Notices sent by registered post to the petitioner's registered address were returned only with endorsements like 'no such door number' or 'insufficient address' — not a denial that it was his address.
  • The same notices were also sent by e-mail and were shown as delivered to the petitioner.

Court Order / Findings

  • The Court noted that the address to which notices were sent was the very address recorded in the petitioner's own GST registration, and that the petitioner had not contended that this was not his address — only that mail was returned due to an outdated door number.
  • Since the petitioner himself had not updated his address despite it having changed, and since the notices were additionally sent by e-mail, the Court held the petitioner's claim of non-receipt could not be accepted at face value.
  • The Court found no reason to interfere with the impugned order and dismissed the writ petition, with no order as to costs.

Important Clarification

This ruling underscores that a taxpayer bears responsibility for keeping the address on their GST registration current — sending notices to the address on record, including by e-mail, can be treated as valid service even if postal delivery fails, especially where the taxpayer has not shown that the address itself was wrong.

Sections Involved

  • Central Goods and Services Tax Act, 2017 — order-in-original and notice provisions
  • Central Excise Act, 1944 — Section 37C (service of decisions, orders, summons)

Decision – In Favour of

Decided against the petitioner; the writ petition was dismissed and the impugned Order-in-Original was upheld.

Case Details

Court: Madurai Bench of Madras High Court  |  Case No.: W.P.(MD) No. 15244 of 2023 with W.M.P.(MD) Nos. 12854 & 12857 of 2023  |  Coram: Hon'ble Ms. Justice P.T. Asha  |  Date: 30 June 2023

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