Facts of the Case

The petitioner, M/s Aman Road Lines (GSTIN 09AASPA9132F1ZM), challenged an order dated 22.04.2024 passed under Section 73 of the U.P. Goods and Services Tax Act, 2017, along with a subsequent order dated 02.07.2025 dismissing its appeal as barred by limitation. The petitioner's central grievance was that no opportunity of personal hearing was ever granted before the adverse order was passed, in breach of the mandatory requirement under Section 75(4). The petitioner relied on the Division Bench ruling of the same Court in Mahaveer Trading Company v. Deputy Commissioner, State Tax (Writ Tax No.303 of 2024), which had already condemned identical lapses by field officers across the state.

Issues Involved

  1. Whether an adjudication order under Section 73 passed without any personal hearing date being fixed violates the mandatory requirement of Section 75(4).
  2. Whether such a defect vitiates both the original order and a subsequent appellate dismissal on limitation.

Petitioner's Arguments

  • No opportunity of personal hearing was granted at any stage before the adverse order was passed under Section 73.
  • In the absence of such opportunity, the order could not be sustained, and the issue stood squarely covered by the binding Division Bench ruling in Mahaveer Trading Company.

Respondent's Arguments

  • The Additional Chief Standing Counsel, on instructions, candidly admitted that no date was ever fixed for personal hearing in the proceedings leading to the impugned order.

Court Order / Findings

  • The Court reproduced its detailed reasoning from Mahaveer Trading Company holding that Section 75(4) mandates a genuine personal hearing before any adverse order, referencing the Commissioner, Commercial Tax, U.P.'s Office Memo No.1406 dated 12.11.2024 which formally acknowledged and directed correction of recurring hearing-related defects across field formations.
  • Applying this dictum directly to the admitted fact that no personal hearing date was fixed at all, the Court held that both the Section 73 order dated 22.04.2024 and the appellate order dated 02.07.2025 dismissing the appeal as time-barred could not be sustained, and quashed both.
  • The matter was remanded to the assessing authority to pass a fresh order only after affording proper opportunity of personal hearing to the petitioner.

Important Clarification

  • Section 75(4) makes personal hearing a mandatory pre-condition to any adverse adjudication order, and an admitted failure to even fix a hearing date is a complete, undisputed breach warranting quashing without further inquiry.
  • Such a defect in the original order also vitiates a subsequent appellate order dismissing the appeal as time-barred, since the underlying adjudication itself was void for want of natural justice.

Sections Involved

  • Section 73, UPGST/CGST Act, 2017 – determination of tax not paid, other than fraud cases.
  • Section 75(4), CGST Act, 2017 – mandatory opportunity of personal hearing before an adverse order.

Decision – In Favour of

In favour of the assessee — both the original order and the time-barred appellate dismissal were quashed, with fresh adjudication directed after proper hearing.

Case Details

High Court of Judicature at Allahabad, Lucknow Bench; WRIT TAX No. 1385 of 2025; Coram: Hon'ble Jaspreet Singh, J.; Date: 27.11.2025.

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