3. Late Shri Kalpeshbhai Ramubhai Patni (husband of the petitioner) was engaged in the business of trading of various goods in the name and style of Shivam Trading Co.. Shri Kalpeshbhai Ramubhai Patni passed away on 03.05.2021 due to Covid-19 at the young age of 37 years. The registration of the proprietorship entity was cancelled by the authorities vide order dated 16.07.2021, assessing nill demands on failure to file the GST returns for a continuous period of six months.

3.1 It is the case of the petitioner, that the business of the deceased proprietor was not continued upon the death of the said proprietor, and she being a householder, was unable to locate the records of the business undertaken by the deceased husband. The respondent authority subsequent to the death of the proprietor and subsequent to the cancellation of registration, issued pre-show cause notice intimation under section 73(5) of the Gujarat Goods and Services Tax Act, 2017 (for short ‘the GGST Act’) dated 14.06.2024 in the name of the deceased proprietor in FORM DRC-01A, intimating proposed tax liability of Rs.28,49,906/- along with interest and penalty for the tax period Financial Year (for short ‘F.Y.’) 2020-21. Since the aforesaid intimation was issued only on the GSTN portal after the death of the taxpayer, the present petitioner (legal heir) was not aware of the same and was unable to respond to the said intimation.

3.2 The respondent authority thereafter issued the impugned notice under section 73(1) of the GGST Act along with FORM DRC-01 dated 02.07.2024 on the deceased taxpayer seeking to recover the tax liability of Rs.28,49,906/- along with interest and penalty for the tax period F.Y. 2020-21. The said notice was issued apparently merely on the differential tax liability on taxable outward supplies as per GSTR-01 and GSTR-3B without undertaking any further verification as regards the actual supplies made by the deceased taxpayer, as well as the availability of the input tax credit against the purported supplies. Since the aforesaid notice was issued on the GSTN portal after the death of the taxpayer, the present petitioner (legal heir) was not aware of the same and was unable to respond to the said notice.

3.3 The respondent authority thereafter passed the impugned order along with FORM DRC-07 dated 01.02.2025 against the deceased taxpayer, confirming the demands proposed in the show cause notice in the absence of any reply filed by the deceased taxpayer. Subsequent to the issuance of the impugned order, the petitioner received a call from the consultant handling and filing of the GST returns for the business of the deceased taxpayer that the impugned notice and the order had been issued on the GSTN portal.