HC Remands Matter for Lack of Reply and Hearing in GST SCN

Case Details: SPMS Abrasive vs. Union of India [2025] 180 taxmann.com 148 (Delhi)

Judiciary and Counsel Details

• Prathibha M. Singh & Shail Jain, JJ.
• Vineet Bhatia, Adv. for the Petitioner.
• Sumit Batra, Adv. for the Respondent.

Facts of the Case

The petitioner, a proprietorship concern, challenged a Show Cause Notice (SCN) and the resulting ex parte adjudication order passed by the Sales Tax Officer for the period 2019-20. The petitioner neither filed a reply to the SCN nor requested a personal hearing, resulting in adjudication without consideration of the merits and also raised objections to certain Central and State notifications extending the limitation period for adjudication. The matter was accordingly placed before the High Court.

High Court Held

The High Court held that the matter deserved to be remanded to the concerned Adjudicating Authority, as the petitioner had not been given a proper opportunity to be heard. It was observed that any challenge to the limitation period notifications would be governed by the outcome of pending cases before the Supreme Court and the High Court. The High Court accordingly remanded the matter while staying proceedings in respect of the limitation period extension under Section 75 and Section 168A of the CGST Act and Article 226 of the Constitution of India.

List of Cases Reviewed

• DJST Traders (P.) Ltd. v. UOI [2025] 174 taxmann.com 191 (Delhi) (para 5)
• Engineers India Ltd. v. UOI [W.P. (C) No. 9214 of 2024, dated 23-4-2025] (para 7)
• Sugandha Enterprises v. Commissioner of DGST [2025] 179 taxmann.com 399 (Delhi) (para 9), followed

List of Cases Referred to

• DJST Traders (P.) Ltd. v. UOI [2025] 174 taxmann.com 191 (Delhi) (para 4)
• HCC-SEW-Meil-AAG JV v. Asstt. Commissioner of State Tax [2025] 174 taxmann.com 1080 (SC) (para 5)
• Engineers India Ltd. v. UOI [W.P. (C) No. 9214 of 2024, dated 23-4-2025] (para 7)
• Sugandha Enterprises v. Commissioner of DGST [2025] 179 taxmann.com 399 (Delhi) (para 9).