The Calcutta HC ruled that failing to notify a show-cause notice on the GST portal violates principles of natural justice, leading to the annulment of a bank attachment.
Non-Intimation of SCN on GST Portal Violative of Natural Justice
The Calcutta High Court has ruled that the failure to separately notify a show-cause notice (SCN) by merely uploading it to the GST portal under the “Additional Notices and Orders” tab is a violation of the principles of natural justice. This ruling resulted in the annulment of a bank attachment that was based on the contested notice.
The court emphasized that parties must be effectively informed of proceedings that could affect their rights and obligations. The mere uploading of the SCN without appropriate notification fails to fulfill this requirement, leading to procedural irregularities and unjust outcomes.
This decision underscores the necessity for tax and compliance practitioners to ensure that all necessary communications regarding legal notices are thoroughly executed and that adequate measures are taken to inform affected parties, particularly in digital platforms.
As a result of this ruling, legal practitioners are advised to scrutinize notification procedures related to SCNs, ensuring that they adhere to principles of natural justice to avoid invalidation of enforcement actions like bank attachments.
Citations
- N/A
