Case Note & Summary
The petitioner, Esquire Electronics, a proprietorship firm represented by its proprietor Shri Jagdish Purohit, filed two writ petitions before the Bombay High Court challenging assessment orders passed under Section 73 of the Maharashtra Goods and Services Tax Act, 2017 (MGST Act). The petitioner contended that the impugned orders were passed ex-parte without granting any opportunity of hearing, thereby violating the principles of natural justice. The respondents, including the State of Maharashtra and tax authorities, opposed the petitions. The court, after hearing the counsel for both sides, observed that the assessment orders were indeed passed without affording any hearing to the petitioner. The court held that the principles of natural justice mandate that before any adverse order is passed, the party must be given a reasonable opportunity of being heard. Consequently, the court allowed both writ petitions, set aside the impugned assessment orders, and remanded the matters back to the respondent authority for fresh adjudication after providing a proper opportunity of hearing to the petitioner. The court directed that the petitioner be heard before any fresh order is passed.
Headnote
A) Constitutional Law - Natural Justice - Right to be Heard - Maharashtra Goods and Services Tax Act, 2017, Section 73 - The court considered whether assessment orders passed ex-parte without granting any opportunity of hearing to the assessee are valid. Held that the principles of natural justice require that before any adverse order is passed, the party must be given a reasonable opportunity of being heard. The impugned orders were set aside and the matters remanded back for fresh adjudication after hearing the petitioner. (Paras 1-8) B) Taxation - GST Assessment - Ex-parte Order - Section 73 of MGST Act, 2017 - The petitioner challenged assessment orders on the ground that no notice of hearing was given and the orders were passed without affording any opportunity. The court found that the orders were passed in violation of natural justice and quashed them, directing the respondent to pass fresh orders after hearing the petitioner. (Paras 1-8)
Issue of Consideration
Whether the assessment orders passed under Section 73 of the Maharashtra Goods and Services Tax Act, 2017, without granting an opportunity of hearing to the petitioner, are sustainable in law.
Final Decision
Both writ petitions are allowed. The impugned assessment orders are set aside. The matters are remanded back to the respondent authority for fresh adjudication after providing an opportunity of hearing to the petitioner.
Law Points
- Natural Justice
- Right to be heard
- Ex-parte assessment
- Opportunity of hearing
- Section 73 of MGST Act
- 2017
