An assessment order issued under the CGST Act is invalid and must be set aside if the mandatory requirement of issuing a prior notice under Rule 142(1)(A) of the CGST Rules, 2017, is not complied with.

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue a writ of mandamus or any other writ, direction or order holding that the proceedings of the 1st Respondent in Adjudication Order issued vide Order-ln- Original No. 20/2023 (GST) (AC) dated 06.09.2023 under Section 73 of the CGST Act, 2017 after cancellation of GST Registration though in Cancellation order dues payable was already assessed as ZERO, after the time limit prescribed under Section 73 , and without effective service of the Show Cause Notice are wholly without jurisdiction, arbitrary, unconstitutional, unreasonable, against the principles of natural justice and contrary to the provisions of the CGST Act, 2017 And to pass

IA NO: 1 OF 2025

Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased stay the operation of the proceedings of the 1st Respondent in Adjudication Order issued vide Order- In-Original No. 20/2023 (GST) (AC) dated 06.09.2023 under Section 73 of the COST Act, 2017 in the interest of justice and pass

Counsel for the Petitioner:

1. ANIL KUMAR BEZAWADA

Counsel for the Respondent(S):

1. SANTHI CHANDRA

2. GP FOR COMMERCIAL TAX

The Court made the following Order:

(per Hon’ble Sri Justice R. Raghunandan Rao)

1. The petitioner has approached this Court, challenging the assessment order, dated 06.09.2023, passed by the 1st respondent, in relation to the financial year, 2017-2018, on the ground that, the said assessment proceedings, had been initiated without prior issuance of Notice, under Rule-142(1)(A) of the Central Goods & Services Tax Rules, 2017. This contention is not disputed.

2. A similar issue had come before a Division Bench of this Court, in the case of New Morning Star Travels Vs. Deputy Commissioner , (ST) (2023) 12 Centax 198 (A.P). After considering this issue, had held that, an assessment order passed without prior issuance of Notice under Rule-142(1)(A) of CGST Rules, 2017, is invalid which requires to be set aside.

3. Following the above said Judgment, this Writ Petition is allowed, setting aside the assessment order, dated 06.09.2023, passed by the 1st respondent and remand the matter back to the 1st respondent for completing the assessment proceedings, in accordance with law.

4. This order shall be subject to the condition of the petitioner depositing 20% of the disputed tax within a period of six (06) weeks from the date of receipt of this order. Any amount recovered, after the passing of the impugned order shall be adjusted against the aforesaid 20% deposit.

5. Needless to say, the period between the date of the impugned order and the date of receipt of this order shall be excluded for the purposes of computation of limitation.

There shall be no order as to costs.

As a sequel, interlocutory applications pending, if any, shall stand closed.