ASHIKA BUSINESS PVT. LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) The instant writ petition seeking to invoke the extra-ordinary and discretionary jurisdiction of this Court under Article 226 of the Constitution of India is preferred to assail a Demand-cum-Show Cause Notice bearing no. GADT/CnG/ADT/GST/6758/2021-Gr-22-CGST-SLCR ADT CIR-ADT SHILLONG/ 308 ['Demand-cum-Show Cause Notice', for short] dtd. 22/9/2023 issued under sub-sec. [1] of Sec. 73 of the Central Goods and Services Tax Act, 2017 [hereinafter referred to as 'the CGST Act, 2017', for short] and an Order-inOriginal bearing no. 15/GST/AC/SIL/2023-24 ['Order-in-Original', for short] dtd. 14/12/2023 passed under sub-sec. [9] of Sec. 73 of the CGST Act, 2017 by the Assistant Commissioner, Central [Goods and Service Tax] and Central Excise Division, Silchar as the Adjudicating Authority.

(2.) The writ petitioner herein is a private limited company incorporated under the Companies Act, 1956 and it carries on the business inter alia of service provider. It has its registered office at Kolkata, West Bengal. With the enactments of the CGST Act, 2017 and the Assam Goods and Services Act, 2017 ['the AGST Act, 2017] and their coming into effect w.e.f. 1/7/2017, the petitioner company applied for registration under the said Acts and has been granted registration vide GSTIN 18AAECA7729F1ZL on 1/8/2017. The petitioner company is assessed under the office of the respondent no. 2, that is, the Principal Commissioner, Central GST and Central Excise Commissioner, GST Bhawan, Kedar Road, Machkowa, Guwahati, Pin - 781001, Assam. The petitioner company has asserted that it has been duly complying with all statutory requirements under the CGST Act, 2017/AGST Act, 2017 by way of filing its Statements of Outward Supply in GSTR - 1 and Monthly Returns in GSTR-3B til this date.

(3.) Sec. 65 of Chapter XIII of the CGST Act, 2017 has a provision for Audit by the tax authorities. As per sub-sec. [1] of Sec. 65 of the CGST Act, 2017, the Commissioner or any officer authorised by him, by way of a general or a specific order, may undertake audit of any registered person for such period, at such frequency and in such manner as may be prescribed. Sub-rule [2] of Rule 101 of the Central Goods and Services Tax Rules, 2017 ['hereinafter referred to as 'the CGST Rules, 2017', for short] has provided that where it is decided to undertake audit of a registered person in accordance with the provisions of Sec. 65, the proper officer shall issue a notice in FORM GST ADT-01 in accordance with the provisions of sub-sec. [3] of Sec. 65. The proper officer, as per sub-rule [4] of Rule 101, is to inform the registered person of the discrepancies noticed, if any, as observed in the audit and the said person may file his reply and the proper officer shall finalise the findings of the audit after due consideration of the reply furnished.