Order to Be Set Aside as Assessee’s Request for a Personal Hearing Was Not Considered by Adjudicating Authority | HC

Case Details: JC Valvulas India (P.) Ltd. vs. Commercial Tax Officer - [2025] 171 taxmann.com 404 (Madras)

Judiciary and Counsel Details

• Mohammed Shaffiq, J.
• S. Karunamoorthy for the Petitioner.
• Ms Amrita Dinakaran, Govt. Adv. for the Respondent.

Facts of the Case

The Petitioner was engaged in the business of manufacturing and supply of valves. The petitioner was registered dealer under the Goods and Services Tax Act, 2017. During the relevant assessment period certain discrepancies were identified in the petitioner’s GST returns, relating to reversal of input tax credit (‘ITC’), ineligible ITC, and ITC claimed from cancelled dealers and tax non payers. A show cause notice was issued to the petitioner in Form GST DRC-01.

In response, the petitioner filed a reply seeking time to furnish some more documents and also requested a personal hearing. However, the order was passed without considering the request for personal hearing. Aggrieved by the order, the petitioner filed a writ petition to the Madras High Court.

High Court Held

The Madras High Court held that the impugned order suffered from the violation of the principles of natural justice and was also contrary to the mandate contained in Section 75(4) of the CGST Act. The matter was remitted to the authority for passing a fresh order after considering the request for a personal hearing.