SCN & AO can’t be challanged for lack of jurisdiction if assessee participated in proceedings: HC

Case Details: Ajay Verma v. Union of India - [2022] 137 taxmann.com 112 (Allahabad)

Judiciary and Counsel Details

• • Surya Prakash Kesarwani and Jayant Banerji, JJ.
  • Mahima Jaiswal and Saurabh Sharma for the Petitioner. 
  • A.S.G.I., C.S.C. and Krishna Ji Shukla for the Respondent.

Facts of the Case

The petitioner for the tax period 2017-18 was assigned to the Officer of Central Tax but the show cause notice (SCN) for assessment under section 73 UPGST Act was issued by the Officer of the State Tax (SGST Officer). It filed writ petition praying to quash the SCN in Form DRC-01 issued by the State Officer.

High Court Held

The Honorable High Court observed that the petitioner had submitted replies to jurisdiction of SGST Officer and participated in assessment proceeding without raising any objection as to jurisdiction. For administrative convenience, petitioner was assigned to a central officer but it is not a case that state officer lacks inherent jurisdiction. In the instant case, the jurisdiction had been exercised by SGST officer in absence of any objection or pointing out by petitioner that the case should been assigned to a central officer. If petitioner objected it at the initial stage or during the course of assessment proceedings, the position could have been rectified by SGST Officer by informing the central officer to complete the assessment proceedings. Therefore, the writ petition was liable to be dismissed.