High Court of Allahabad
S.S. Infrazone (P.) Ltd. v. State of U.P
For assessee
WRIT TAX NO. 1068 OF 2026
High Court of Allahabad
WRIT TAX NO. 1068 OF 2026
Where SCN invoking extended period for tax or ITC involving fraud was issued without detailing statutory ingredients like fraud, wilful misstatement, or suppression of material facts with intent to evade tax, continuation of proceedings was unsustainable as jurisdictional preconditions were not disclosed, leading to quashing of SCN with liberty to issue a fresh notice in accordance with law
Section 74, read with section 75 of Central Goods and Services Tax Act, 2017/Uttar Pradesh Goods and Services Tax Act, 2017
This summary is for general information and is not legal advice. Read the full decision and the applicable law before relying on it.
Members
The background, the issue before the court and the reasoning behind the decision are free for members — along with the professional discussion on this ruling.
Free to join. No card required.
Already a member? Sign in
Delhi High Court
Where petitioner distributor of medicines challenged show cause notice and appropriation of amount deposited during audit on grounds of coercion, limitation, computation, and jurisdiction, since statutory adjudication had commenced and SCN did not finally determine liability, all objections including voluntariness of payment and other contentions could be raised before Adjudicating Authority and interference at SCN stage was unwarranted
Delhi High Court
Where SCN and penalty proceedings were initiated against legal representative of deceased alleged to have fraudulently availed ITC and IGST refunds, in view of fact that section 93 permitted post-death determination of tax, interest and penalty liability accruing to extent of deceased's estate, investigation and recovery actions were jurisdictionally valid against legal heirs. GST: Where department, after assessee's death, proceeded against legal representative for tax penalty based on alleged fraudulent refunds by deceased, while provisions of section 93(1)(b) was challenged under Article 14 as arbitrary and denying defence, since liability was limited to estate of deceased, representative was not deemed to be a wrongdoer, particularly when effective hearing and appeal safeguards existed; thus, constitutional challenge to Section 93(1)(b) was untenable and was rejected. GST: Amount seized during search could not be retained indefinitely merely on alleged voluntary deposit; Department was required to establish lawful basis for retention/appropriation, furnish complete account of principal and FD interest, and release any amount lacking statutory basis with interest actually earned after reasoned adjudication
Calcutta High Court
Where tax, interest and penalty demands were raised via SCN and order uploaded only on portal without direct intimation and reply was filed but no personal hearing was afforded before passing ex parte order, principles of natural justice were breached, requiring the adjudication to be quashed and matter reconsidered after granting effective hearing