Facts of the Case

  • The Petitioner challenged an adjudication order dated 23.12.2023 passed under Section 73 GST Act.
  • The Petitioner also challenged Notification No. 09/2023 extending limitation.
  • The show cause notice dated 22.11.2023 was uploaded on the GST portal under “Additional Notices Tab.”
  • The Petitioner claimed lack of knowledge of the notice and absence of opportunity to respond.
  • The adjudication order was passed ex-parte without granting personal hearing.
  • The matter was linked to ongoing litigation regarding validity of GST notifications before the Supreme Court.

Issues Involved

  1. Whether adjudication order passed without proper communication of SCN and without personal hearing is valid.
  2. Whether uploading SCN under “Additional Notices Tab” satisfies principles of natural justice.
  3. Whether extension of limitation under Section 168A through impugned notifications is valid (pending before Supreme Court).

Petitioner’s Arguments

  • The SCN was not effectively communicated as it was uploaded in a non-visible tab on the GST portal.
  • The Petitioner had no knowledge of proceedings and hence could not file a reply.
  • No personal hearing was granted before passing the order.
  • The order is violative of principles of natural justice.
  • The impugned notifications extending limitation are legally questionable.

Respondent’s Arguments

  • The notices were uploaded on the GST portal.
  • The Department contended that system-related placement of notices may have caused visibility issues.
  • It was submitted that such issues have now been rectified in the portal system.

Court Findings / Order

  • The Court observed that proper opportunity must be granted before passing adjudication orders.
  • It relied on earlier judgments where similar issues arose due to uploading of notices under “Additional Notices Tab.”
  • The impugned adjudication order was set aside.
  • The Petitioner was granted 30 days to file a reply.
  • The Department was directed to:
    • Provide personal hearing, and
    • Ensure communication via email and other proper modes.
  • The matter was remanded for fresh adjudication on merits.
  • The issue regarding validity of GST notifications was kept open, subject to the Supreme Court’s decision.

Important Clarifications

  • Uploading notices in non-prominent sections of the GST portal may violate principles of natural justice.
  • Authorities must ensure effective communication, not mere technical compliance.
  • Ex-parte GST orders are liable to be set aside if opportunity of hearing is denied.
  • The constitutional validity of limitation-extension notifications remains sub judice before the Supreme Court.

Link to download the order -  https://delhihighcourt.nic.in/app/showFileJudgment/68923042025CW91142024_193341.pdf 

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