Order Date – 01 March 2023

Parties: Sri Gayathri Agencies Vs The State Tax Officer

Facts –

• The Petitioner, Sri Gayathri Agencies, has challenged the impugned assessment order on the ground of violation of principles of natural justice as the petitioner was not granted personal hearing in the impugned assessment proceedings.

Issue –

• Whether the assessment order passed without granting personal hearing is valid?

Order –

• The Single Bench of Hon’ble High Court held that Section 75(4) of the GST Act 2017 makes it clear that in cases, where an adverse decision is taken by the Assessing Officer against the assessee, personal hearing is mandatory. Admittedly, in the assessment proceedings, pertaining to the assessment year 2017-18, no personal hearing was afforded to the petitioner.
• On the ground of violation of principles of natural justice as the impugned assessment order has been passed contrary to Section 75(4) of the GST Act 2017, which mandates personal hearing, the impugned assessment order dated 31.10.2022, pertaining to the assessment year 2017-18 has quashed and the matter has remanded back to the respondent for fresh consideration.
• The Writ petition disposed of.