Facts of the Case

The petitioner, M/S Neelkanth Traders, through its proprietor Amit Agarwal, challenged orders dated 14.12.2023 and 11.03.2024 passed by the Deputy Commissioner, State Tax, Lucknow, under Section 73 of the Uttar Pradesh Goods and Services Tax Act, 2017, creating a demand for the financial year 2018-19. The petitioner's case was that the Section 73 notice had been uploaded only under the 'Additional Notices and Orders' tab of the GST portal rather than the 'Due Notices and Orders' tab, so the petitioner remained unaware of the notice and the subsequent order, and could neither reply nor challenge the order within limitation. The entire disputed demand remained deposited with the State Government.

Issues Involved

  1. Whether an assessment order passed under Section 73 can be sustained when the underlying show-cause notice was uploaded only under the portal's 'Additional Notices and Orders' tab and not under 'Due Notices and Orders'.
  2. Whether the assessee is entitled to a fresh opportunity of hearing in such circumstances.

Petitioner's Arguments

  • The notice under Section 73 was placed only under the 'Additional Notices and Orders' tab, a location the assessee was not expected to routinely monitor, so the petitioner had no real notice of proceedings.
  • Relied on the Division Bench decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P., Writ Tax No. 855 of 2024, decided 22.07.2024, which granted relief on an identical grievance and remanded the matter.
  • As the entire disputed amount was lying in deposit with the State, no prejudice would result from remand, and continuing the assessment on the existing record would work injustice.

Respondent's Arguments

  • The learned Standing Counsel for the State, on instructions, did not dispute that the notice and order had in fact been uploaded under the 'Additional Notices and Orders' tab instead of the correct tab.
  • It was submitted that the assessing officer had no choice or option on the GST portal to control which tab the notice would reflect under, and any correction to the portal architecture would have to be made by the GST Network, a separate technical body.

Court Order / Findings

  • Following Ola Fleet Technologies Pvt. Ltd., the Court held that the petitioner was entitled to the benefit of doubt as no material existed to show the notice was ever visible under 'view notices and orders'.
  • The Court held that where notices are uploaded only under 'Additional Notices and Orders' and the assessee is consequently deprived of an effective opportunity to respond or to challenge the order within limitation, the resultant order cannot be sustained and must be set aside.
  • The orders dated 14.12.2023 and 11.03.2024 were quashed, and the writ petition was allowed.
  • The assessing officer was directed to issue a fresh notice of at least fifteen clear days to the petitioner, in the manner prescribed, and to proceed further in accordance with law based on such notice.

Important Clarification

  • Mere technical compliance by uploading a notice somewhere on the GST portal does not satisfy the requirement of effective service where it is placed under a tab not ordinarily viewed by taxpayers for 'due' notices.
  • Where the disputed tax amount is already lying in deposit with the Government, courts are inclined to grant a fresh opportunity rather than relegate the assessee to a fresh round of proceedings from scratch.
  • Such relief is procedural and without prejudice to the department's right to re-adjudicate the matter on merits after proper notice.

Sections Involved

  • Section 73, UPGST Act, 2017 – determination of tax not paid/short paid, no fraud alleged.
  • GST Portal 'Additional Notices and Orders' Tab – administrative feature under the CGST/UPGST Rules framework for uploading communications to taxpayers.

Decision – In Favour of

The decision is in favour of the assessee, M/S Neelkanth Traders — the impugned orders were quashed and the matter remanded for a fresh notice and re-adjudication.

Case Details

High Court of Judicature at Allahabad, Lucknow Bench (Court No. 3) – Writ Tax No. 1146 of 2025 – Coram: Hon'ble Shekhar B. Saraf, J. and Hon'ble Prashant Kumar, J. – Order dated 16.10.2025.

Link to Download the Order

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