Facts of the Case

The petitioner, M/S Habib Mentha Traders, challenged an order dated 14.06.2022 passed by the Deputy Commissioner, State Tax, Sector-3, Rampur under Section 73 of the Goods and Service Tax Act, 2017, whereby a demand was created for the financial year 2020-21. It was submitted that the notices under Section 73 had been uploaded only on the 'Additional Notices and Orders' tab of the GST Portal, and not on the 'Due Notices and Orders' tab, as a result of which the petitioner remained unaware of the notice and the subsequent order, and could neither appear before the authority nor challenge the order within limitation.

Issues Involved

  1. Whether uploading of a Section 73 notice and order only on the 'Additional Notices and Orders' tab, instead of the 'Due Notices and Orders' tab, entitled the petitioner to the benefit of doubt.
  2. Whether the impugned demand order deserved to be quashed and the matter remitted for issuance of a fresh notice.

Petitioner's Arguments

  • The Section 73 notices were uploaded on the 'Additional Notices and Orders' Tab, causing the petitioner to remain unaware of the notice and the order.
  • The issue stood squarely covered by the Court's decision in Ola Fleet Technologies Pvt. Ltd. v. State of U.P. & 2 others (Writ Tax No. 855 of 2024, decided 22.7.2024), where notices uploaded on the wrong tab were held to entitle the assessee to the benefit of doubt and the matter was remanded.

Respondent's Arguments

  • Counsel for the Department did not dispute that the notice and order had been uploaded on the 'Additional Notices and Orders' tab instead of the 'Due Notices and Orders' tab.
  • It was fairly conceded that the issue was covered by Ola Fleet Technologies, and that any portal-level tab-display anomaly was not attributable to the assessing officer but would need to be addressed by the GST Network, the entity responsible for the web portal.

Court Order / Findings

  • Relying on Ola Fleet Technologies Pvt. Ltd., the Division Bench reiterated that where the impugned order does not reflect under the assessee-visible "view notices and orders" tab but only under "additional notice and orders", the assessee is entitled to a benefit of doubt as to due communication.
  • The writ petition was allowed and the order dated 14.06.2022 was quashed and set aside.
  • The Assessing Officer was directed to issue a fresh notice giving at least 15 clear days, in the manner prescribed by law, and to proceed further based on that notice.

Important Clarification

  • Uploading of a Section 73 notice or order exclusively under the GST Portal's 'Additional Notices and Orders' tab, rather than the tab an assessee ordinarily monitors, amounts to a communication defect entitling the assessee to a benefit of doubt and remand, regardless of whether the fault lies with the assessing officer or the portal architecture maintained by GSTN.
  • Where the disputed amount is already lying deposited with the Government, courts see no purpose in relegating the assessee to the appellate remedy and instead direct a fresh, properly-served notice.

Sections Involved

  • Section 73 of the Goods and Services Tax Act, 2017 — governs determination of tax not paid or short paid, or input tax credit wrongly availed, for reasons other than fraud.

Decision – In Favour of

Allowed in favour of the Assessee; the impugned order was quashed with liberty to the Department to issue a fresh, properly-served notice and proceed afresh in accordance with law.

Case Details

Court: High Court of Judicature at Allahabad
Case No.: Writ Tax No. 5035 of 2025
Coram: Hon'ble Shekhar B. Saraf, J. and Hon'ble Arun Kumar, J.
Date of Order: 26th September, 2025

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