Facts of the Case

The petitioner, Meeraas Trading, through its proprietor Syed Mohd. Amir, challenged an order dated 22.07.2021 passed under Section 73 of the GST Act and a further order dated 08.08.2025 dismissing its appeal as beyond limitation. It was contended that no opportunity of hearing was granted while passing the order.

Issues Involved

  1. Whether the reminder notice preceding the impugned order fixed a date for personal hearing, and if not, whether this vitiated the order under Section 75(4).
  2. Whether the appellate dismissal for limitation could stand once the underlying order was found procedurally defective.

Petitioner's Arguments

  • No opportunity of hearing was granted while passing the order impugned, contrary to Section 75(4) of the GST Act.
  • The issue stood covered by Mahaveer Trading Company vs Deputy Commissioner State Tax and another (Writ Tax No.303 of 2024, decided 04.03.2024).

Respondent's Arguments

  • Learned Standing Counsel, based on instructions, stated that in the reminder notice, no date for hearing was fixed — effectively conceding the procedural defect.

Court Order / Findings

  • Finding the order to be violative of Section 75(4) of the GST Act, and the issue being covered by Mahaveer Trading Company, the Court quashed both the impugned order dated 22.07.2021 and the appellate order dated 08.08.2025, and allowed the writ petition.
  • The matter was remanded to the Assessing Authority to pass a fresh order in accordance with law, after providing adequate opportunity of hearing.

Important Clarification

  • A reminder notice preceding a Section 73 order that fails to fix any date for personal hearing is a violation of Section 75(4) of the GST Act, warranting quashing of the order irrespective of an intervening appellate dismissal on limitation.
  • Such defects are treated as covered squarely by the Mahaveer Trading Company line of authority, resulting in remand for fresh adjudication after a genuine hearing rather than any inquiry into the merits of the tax demand itself.

Sections Involved

  • Section 75(4) of the Goods and Services Tax Act, 2017 — mandatory opportunity of hearing where an adverse decision is contemplated.
  • Section 73 of the GST Act, 2017 — determination of tax not paid or short paid, or ITC wrongly availed, for reasons other than fraud.

Decision – In Favour of

Allowed in favour of the Assessee; both orders were quashed and the matter remanded for fresh adjudication after a proper opportunity of hearing.

Case Details

Court: High Court of Judicature at Allahabad, Lucknow Bench
Case No.: Writ Tax No. 813 of 2025
Neutral Citation: 2025:AHC-LKO:49423
Coram: Hon'ble Pankaj Bhatia, J.
Date of Order: 22nd August, 2025

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