Order Passed Without Giving Opportunity to Explain Discrepancies Between GSTR-1 and GSTR-3B Returns to Be Set Aside | HC

Case Details: Hajabandenawas v. State Tax Officer - [2024] 162 taxmann.com 920 (Madras)

Judiciary and Counsel Details

• N. Senthilkumar, J.
• S. Shamili for the Petitioner.
• C. Harsha Raj, Addl. Govt. Pleader (Tax) for the Respondent.

Facts of the Case

The petitioner is a registered person under GST and received notice for demand of tax, interest and penalty under Section 73 of CGST Act, 2017. It filed writ petition and contended that no opportunity was given to the petitioner to put forth their defence. It was also contended that there was a mismatch with regard to the GSTR-1 and the GSTR-3B returns filed by the petitioner.

High Court Held

The Honorable High Court noted that the impugned order was issued confirming the proposal of tax, interest and penalty. However, the petitioner was not given opportunity to submit explanation and documents regarding discrepancies. The Court also noted that if an opportunity of personal hearing is granted, the petitioner will demonstrate with documentary evidence with regard to the discrepancies between the GSTR-1 statement and the GSTR-3B returns.

Therefore, the Court held that the impugned order was liable to be set aside and matter was remanded back to the department for fresh consideration.