Latest GST Judgments

For Full Access To All Latest Judgments on GST
Click Here To Subscribe Now
Take a tour of our GST Library

HC quashed and set aside the order passed by the respondent in Form GST DRC-1A and remit the matter for fresh consideration after giving an opportunity of hearing to the writ applicant.

Section 70 of the CGST Act and Rule 142 of the CGST Rules— Non Compliance of summons and demand of duty -– The applicant engaged in the business of manufacturing of different types of knitted fabrics, received a summon dated 30th June 2020 under the provisions of Section 70(1). The petitioner is 68 years of age and has been medically advised not to travel, accordingly he intimated the respondent. The respondent issued DRC-1A dated 23rd July 2020 in accordance with Rule 142 (1A). The total liability, as assessed, is to the tune of Rs.69,25,862/- plus interest and penalty. The residential premises came to be provisionally attached vide attachment order dated 24th July 2020. The order of provisional attachment is in Form GST DRC-22. The Court observed that no sooner the applicant failed to respond to the summons, the respondent proceeded to pass an order in Form GST DRC-1A. One opportunity of hearing should be given to the applicant. The applicant prayed for to set-aside Form DRC-1A dated 23.07.2020 issued by respondent; to set-aside the provisional attachment order i.e. Form GST DRC-22, for both the premises i.e. for factory premises and residential premises issued in Form GST DRC-22 dated 24.07.2020.
Held that:- The Hon’ble High Court quashed and set aside the order in Form GST DRC-1A dated 23rd July 2020 and remitted the matter to the respondent for fresh consideration of the matter after giving an opportunity of hearing. The Court did not quashed the order of attachment of property.—Formative Tex Fab Vs. State of Gujarat [2020] 27 TAXLOK.COM 037 (Gujarat)