Appellate Authority Must Pass Reasoned GST Orders Despite Absence | HC

Case Details: SFC Global Commodity (P.) Ltd. vs. Union of India - [2026] 185 taxmann.com 435 (Gujarat)

Judiciary and Counsel Details

• A.S. Supehia & Pranav Trivedi, JJ.
• Hardik P. Modh for the Petitioner.
• Ms Tanushree Shrimal, Asstt. Govt. Pleader & Ms Hetal G. Patel, Senior Standing Counsel for the Respondent.

Facts of the Case

The petitioner filed a writ petition challenging the order passed by the Deputy Commissioner and the subsequent dismissal of its appeal by the first appellate authority. It had specifically contended in its appeal memo that it had furnished timely replies to RFT-08 notices and had expressly requested a personal hearing, which was not granted. It was further argued that the delay in filing refund application in RFT-01 was attributable to system-related constraints and not due to any lapse on its part. Despite placing these detailed factual and legal submissions on record, the appellate authority dismissed the appeal solely on the ground of non-appearance, without examining the merits of the case or addressing the issues raised in the written submissions. The matter was accordingly placed before the High Court.

High Court Held

The High Court held that, under Section 107 read with Section 75 of the CGST Act and the Gujarat GST Act, quasi-judicial authorities are obligated to pass a reasoned and speaking order addressing the contentions raised by the assessee. It emphasized that mere non-appearance of the appellant cannot justify summary dismissal of an appeal, especially where detailed written submissions are already on record. It noted that the appellate authority failed to consider key issues such as denial of personal hearing and system-driven delays, thereby violating principles of natural justice. Accordingly, the impugned order was set aside and the matter was remanded for fresh adjudication with a direction to grant an opportunity of hearing.