GST Notice Uploaded Late Despite Timely Generation Time-Barred: Delhi HC

GST Notice Uploaded Late Despite Timely Generation Ruled Time-Barred

The Delhi High Court has ruled that a GST show-cause notice, though generated internally before the法定 limitation period, is time-barred if uploaded late on the GST portal due to technical issues. The court emphasized that Section 73(2) of the CGST Act mandates timely issuance and communication of notices, which must be effected through the GST portal under Section 169.

The petitioner had received a show-cause notice for alleged tax short-payment, issued after the prescribed three-year limitation period. While the revenue argued that the notice was internally generated on time, delay in portal upload occurred due to a technical glitch, the court rejected this contention. It held that internal generation does not constitute legal issuance; serviceability on the portal is essential for valid communication.

\'The notice must not only be issued but also made available in the taxpayer's electronic account within the limitation period.\'

The court observed that reliance on internal systems cannot override the statutory mandate under Section 169, which requires electronic service through the common portal. The failure to upload within time renders the notice invalid and unenforceable. This reinforces strict compliance with procedural timelines in GST proceedings.

For practitioners, this decision underscores the importance of precise adherence to deadlines and technological preparedness. Taxpayers may challenge late notices even if the delay stems from system glitches, provided they can show the notice was not available on their portal within time. Authorities must ensure timely upload, not just internal processing.