Haripa India & Anr vs The Assistant Commissioner Of State Tax
2024 Latest Caselaw 4941 Cal

Calcutta High Court (Appellete Side)

Haripa India & Anr vs The Assistant Commissioner Of State Tax on 24 September, 2024

Author: T.S. Sivagnanam

Bench: T.S. Sivagnanam

Form No. J.(2)
Item No. 12


                 IN THE HIGH COURT OF JUDICATURE AT CALCUTTA
                          CIVIL APPELLATE JURISDICTION
                                 APPELLATE SIDE

                              HEARD ON: 24.09.2024

                            DELIVERED ON: 24.09.2024
                                  CORAM:
                    THE HON'BLE CHIEF JUSTICE T.S. SIVAGNANAM
                                    AND
                  THE HON'BLE MR. JUSTICE BIVAS PATTANAYAK
                               M.A.T. 1838 of 2024
                                        With
                              I.A. No. CAN 1 of 2024

                                Haripa India & Anr.
                                        Vs.
                     The Assistant Commissioner of State Tax
                 Lyons Range and N.D. Sarani Charge, WBGST & Ors.

Appearance:-
Mr. Ankit Kanodia
Ms. Megha Agarwal
Mr. Piyush Khaitan                          .........for the appellants


Mr. Anirban Ray, Ld. GP
Mr. T.M. Siddique
Mr. Tanoy Chakraborty
Mr. S. Sanyal                              ..........for the State


                                    JUDGMENT

(Judgment of the Court was delivered by T.S. SIVAGNANAM, C.J.)

1. The appellants/petitioners are aggrieved by the order passed by the learned

Single Bench dated September 5, 2024 in W.P.A. 18230 of 2024 while

granting an interim order and directing the appellants to secure the entire

tax component as made under the adjudication order dated April 29, 2024

by furnishing a bank guarantee to the satisfaction of the learned Registrar

General of this Court.

2. The appellants would contend that the chain of events will clearly show

that the appellants had been promptly responding to all the show-cause

notices and has submitted the documents in support of their claim. They

also relied upon various decisions of the Hon'ble Supreme Court as well as

this Court. However, the adjudicating authority, without considering the

reply given by the assessee, by a single line, has rejected the reply as not

satisfactory and confirmed the demand made in the show-cause notice in

Form GST DRC-01.This order has been put to challenge in the writ petition.

3. In our view, the adjudicating authority, which is the first authority in the

hierarchy of authorities, is bound to consider the reply and record reasons

as to why the reply is not satisfactory. This is manifestly absent in the

adjudication order dated April 29, 2024. This would be sufficient to set

aside the order and remand the entire proceedings back to the adjudicating

authority/assessing officer.

4. For the above reasons, this appeal is allowed. The interim order passed in

the writ petition is set aside and the writ petition is allowed and the

adjudication order dated April 29, 2024 passed under section 73 of the

WBGST Act, 2017 is set aside and the matter is remanded to the

adjudicating authority for fresh consideration.

5. The adjudicating authority shall afford an opportunity of personal hearing

to the authorised representative of the assessee, take into consideration the

oral submissions, the reply to the show-cause notices and all the

documents and pass a speaking order on merits and in accordance with

law.

6. The appellants are at liberty to place all the decisions in support of their

contentions, which shall be dealt with by the adjudicating authority.

7. No costs.

8. Urgent photostat certified copy of this order, if applied for, be furnished to

the parties expeditiously upon compliance of all legal formalities.

(T.S. SIVAGNANAM) CHIEF JUSTICE

I agree.

(BIVAS PATTANAYAK, J.)

Pallab/KS AR(Ct.)