Judicial Corner: Service of SCN only through the GST portal, without exhausting other modes, is invalid and vitiates the assessment due to violation of natural justice. (24.02.2026)

Daily Updates / By

Service of SCN only through the GST portal, without exhausting other modes, is invalid and vitiates the assessment due to violation of natural justice. { V.S.Muruganandam vs. Deputy State Tax Officer -II [2026] 183 taxmann.com 558 (Madras)}

Facts

  • The tax department issued a SCN and subsequently passed an assessment order against the assessee.
  • Both the SCN and the assessment order were served only through the GST portal.
  • No attempt was made to serve the SCN through other prescribed modes such as physical delivery, registered post, or email.
  • The assessee contended that he was not aware of the SCN and therefore could not respond.

Issue

  • Whether exclusive service of SCN through the GST portal, without attempting other statutory modes of service, is valid and compliant with principles of natural justice.

Held

  • The Madras High Court held that mere uploading of SCN on the GST portal alone is not sufficient, especially when other modes of service are statutorily available.
  • Failure to explore alternate modes of service resulted in denial of reasonable opportunity to the assessee.
  • Such action amounted to a breach of principles of natural justice.
  • Accordingly, the assessment order was quashed and the matter was remanded for fresh proceedings after proper service of notice.