In the case of:
Parv Alloys & Metals vs. Union of India [2026] 186 taxmann.com 107 (Punjab & Haryana)[29-04-2026]
Facts of the Case:
Show Cause Notice was issued, mentioning the Date, Time and Venue of Personal Hearing as NA. Further to the same, an Adjudicating Order was passed, demanding Tax.
Learned State Counsel submitted that since the petitioner did not file a written response to the show cause notice, no opportunity of hearing was required to be granted to them.
Hon’ble High Court of Punjab & Haryana has set aside the Adjudication Order stating that:
- Under Section 75(4) of the CGST Act, 2017, an assessee is statutorily entitled to be granted an opportunity of hearing before any adverse decision is even contemplated against him.
- Further, in the absence of a written response, if the petitioner had been granted an opportunity of hearing, it could, at the time of such hearing, produce its original record in the form of account books, ledgers etc. and/or file written arguments in defence and make an attempt to satisfy the Assessing Officer to withdraw the show cause notice served upon him.
- Hence, the impugned Order is set aside. Department can proceed against the petitioner but only after providing the Opportunity of Personal Hearing as per Section 75(4).
Tax Diary 