HC directs anti-evasion wing not to proceed with notices issued for period whose GST audit had been commenced

Case Details: R. P. Buildcon (P.) Ltd. v. Superintendent, CGST & Central Excise-Circle-II - [2022] 144 taxmann.com 108 (Calcutta)

Judiciary and Counsel Details

• • T. S. Sivagnanam & Supratim Bhattacharya, JJ.
  • Ankit Kanodia, Ms Megha Agarwal and Jitesh Sah for the Appellant.
  • K.K. Maiti for the Respondent.

Facts of the Case

The Anti-evasion wing and Range Office have issued notices to the appellant for certain financial years for which GST audit proceedings were initiated but not completed. It filed writ petition and contended that three wings of the same department are proceeding against it. The learned Single Bench dismissed the writ petition on the ground that the proceedings are in the nature of show cause notice and therefore, the appellant filed appeal.

High Court Held

The Honorable High Court noted that four issues were pointed out for the said period, out of which two issues as pointed out by the audit was accepted by the appellant and the necessary tax and interest were remitted. However, for the remaining two issues, the appellant had submitted response to the notice and the matter has not been taken to the logical end. In the meantime, the other two wings of the department, viz. Anti-evasion wing as well as the Range Office have also proceeded against the appellant by issuing notices for the very same period for which audit proceedings under Section 65 of the Act has already commenced.

Therefore, the Court held that proceedings initiated by the Anti-evasion and Range Office for the very same period shall not be proceeded with any further and audit proceedings should be taken to the logical end. Also, the order of learned Single Bench was set aside.