Show cause notices and GST determinations issued in the name of a deceased proprietor are void; proceedings must be initiated against the legal representative.

Case: Mudit Gupta (Legal Heir to Pushpa Gupta) v. State of U.P. & Others
Citation: Writ Tax No. 4277 of 2025
Court/Bench: Allahabad High Court
Coram: Hon’ble Shekhar B. Saraf, J.; Hon’ble Praveen Kumar Giri, J.
Date of Decision: 01-09-2025

Whether show cause notices and orders determining tax under Section 73 can validly be issued against a deceased person and recovered under Section 93 of the CGST Act.

Proprietor Pushpa Gupta died on 14.06.2021; registration of M/s M.G. Sarees cancelled w.e.f. 14.06.2022 (order dated 17.07.2022).

SCNs for FYs 2017-18, 2018-19, 2019-20, 2020-21 were later uploaded in the name of the deceased.

No reply was filed as the registration stood cancelled; orders under Section 73(9) followed, raising demands.

Department relied on Section 93 to justify recovery from the legal heir.

It was held that Section 93 addresses liability of legal representatives but does not authorize determination against a dead person. Where the taxable person has died, a fresh show cause notice must be issued to the legal representative, and determination must follow due process. The impugned orders for all four years were quashed, with liberty to proceed in accordance with law.

Determination of tax cannot be made against a deceased person; post-death proceedings must be initiated against the legal representative with proper notice.

On death of a proprietor, promptly update GST records, cancel registration, and ensure that all departmental communications are routed to the legal representative. If notices are issued in the deceased’s name, seek quashing and insist on fresh proceedings addressed to the legal heir, while preserving records for any re-initiated action.