The right to a personal hearing is fundamental and mandated by law, regardless of the assessee’s indication online. Denial of this opportunity violates principles of natural justice.
New Regal Electric Works Vs. State of U.P. And Another, Allahabad High Court
Date May 31, 2024 Order No. Writ Tax No.- 963 of 2024
Summary of the Order
| Section | Details |
|---|---|
| Issues | The petitioner challenged the assessment order dated 07.12.2023 on the ground that The petitioner was denied an opportunity for personal hearing, as the notice dated 24.12.2022 explicitly omitted details for personal hearing (date, time, and venue marked as “NA”). |
| Petitioner’s Argument | Personal hearing was mandatory even if the petitioner marked “No” in the online form regarding personal hearing. This was alleged to be in violation of Section 75(4) of the U.P. GST Act, 2017, which mandates granting an opportunity of hearing where any adverse decision is contemplated. |
| Revenue’s Argument | The petitioner was denied the hearing because he declined the option for personal hearing in the online submission. |
| Court’s Observations | The right to a personal hearing is fundamental and mandated by law, regardless of the assessee’s indication online. Denial of this opportunity violates principles of natural justice. Observing minimal standards of natural justice is essential, especially in cases imposing substantial civil liabilities. |
| Court’s Decision | The impugned order dated 07.12.2023 was set aside. The case was remitted to the Assistant Commissioner to issue a fresh notice and provide the petitioner a fair opportunity for a personal hearing. |
| Favorable Case Laws Cited |
Bharat Mint & Allied Chemicals v. Commissioner Commercial Tax & 2 Ors. Citation: (2022) 48 VLJ 325 Established that providing a personal hearing is mandatory under Section 75(4) of the U.P. GST Act, 2017. M/S Hitech Sweet Water Technologies Pvt. Ltd. v. State of Gujarat Citation: 2022 UPTC (Vol. 112) 1760 Reiterated the importance of adhering to natural justice and ensuring proper opportunity for personal hearing before adverse orders. |
