Facts of the Case

M/s Roshan Timber and Plywood challenged an order dated 18.10.2022 passed by the Commercial Tax Officer, State Tax, Sector-3, Shamli, under Section 74 of the Goods and Services Tax Act, 2017, raising a demand against the petitioner. The petitioner's grievance was that notices under Section 74 were uploaded on the 'Additional Notices and Orders' tab of the GST portal rather than the 'Due/View Notices and Orders' tab, so it remained unaware of the notices and the subsequent order and could neither respond nor challenge it within limitation. The petitioner relied on a co-ordinate Bench ruling in Ola Fleet Technologies Pvt Ltd v. State of U.P., which had granted relief in an identical situation.

Issues Involved

  1. Whether uploading a GST show cause notice and order under the portal's 'Additional Notices and Orders' tab, instead of the tab ordinarily viewed by taxpayers, amounts to proper communication.
  2. Whether such a defect entitles the taxpayer to have the impugned order quashed and a fresh notice issued.
  3. What relief follows when the department does not dispute the tab-related defect.

Petitioner's Arguments

  • Submitted that the notices and order were placed on the wrong portal tab, depriving the petitioner of any real opportunity to respond within limitation.
  • Relied on the binding co-ordinate Bench decision in Ola Fleet Technologies Pvt Ltd v. State of U.P. and Writ Tax No.855 of 2024, which held that a taxpayer is entitled to benefit of the doubt where notices/orders are not reflected under the correct tab.

Respondent's Arguments

  • The Department's counsel, based on the material on record, did not dispute that the notice and order had indeed been uploaded on the 'Additional Notices and Orders' tab instead of the 'Due Notices and Orders' tab.
  • Fairly conceded that the issue was squarely covered by the Ola Fleet Technologies precedent.

Court Order / Findings

  • The Court reproduced and relied on its earlier reasoning in Ola Fleet Technologies, which had held that a taxpayer is entitled to the benefit of the doubt when there is no material to reject the contention that the order did not reflect under the correct portal tab.
  • Held that in view of the covered precedent and the Department's own concession, the writ petition deserved to be allowed and the impugned Section 74 order quashed and set aside.
  • Directed the Assessing Officer to issue a fresh show cause notice with at least fifteen days' clear notice to the petitioner, in the manner prescribed by law, with further proceedings to follow thereafter.

Important Clarification

  • Uploading of a GST notice or order only under the 'Additional Notices and Orders' tab, rather than the tab that taxpayers ordinarily monitor, is a recognised and recurring defect that entitles the assessee to the benefit of the doubt and re-notice.
  • Where the department does not dispute the tab-related defect, courts will quash the order and direct fresh proceedings with clear notice, rather than examine the underlying tax demand on merits.

Sections Involved

  • Section 74, CGST/UPGST Act, 2017 – governs demand and recovery where tax has been evaded by reason of fraud, wilful misstatement or suppression of facts.

Decision – In Favour of

Allowed in favour of the assessee, with the impugned Section 74 order quashed and set aside and fresh proceedings directed with proper notice.

Case Details

  • Court: High Court of Judicature at Allahabad
  • Case No.: Writ Tax No. 3439 of 2025 (Neutral Citation No. 2025:AHC:126011-DB)
  • Coram: Hon'ble Shekhar B. Saraf, J. and Hon'ble Praveen Kumar Giri, J.
  • Date of Order: 28 July 2025

Link to Download the Order

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