Judicial Corner:Ex-parte order set aside due to lack of opportunity for hearing to assessee by AO Madras High Court (19.08.2025)

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Ex-parte order set aside due to lack of opportunity for hearing to assessee by AO Madras High Court { CSM Animal Husbandry and Agri Tech V/s DC, GST Appeals (2025) 33 Centax 77 (Mad.)}

 

Facts

  • A Show Cause Notice was issued to the assessee only through the GST portal.
  • The assessee claimed they were unaware of the notice, and no physical/original notice was furnished.
  • The proper officer proceeded ex parte and passed an assessment order, confirming the proposals in the SCN, without granting a personal hearing.

 

Issue

Whether the assessment order passed only on the basis of SCN sent through GST portal, without exploring other modes of service under Sec. 169 CGST Act and without affording personal hearing, is valid in law?

 

Held

  • Officer, despite repeated reminders through the portal, should have applied his mind and explored other valid modes of service under Sec. 169(1) (e.g., RPAD, email, physical service).
  • Mere sending of notice on the GST portal without ensuring effective service is only an empty formality.
  • Passing an ex parte order in such circumstances defeats natural justice and leads to unnecessary litigation.
  • Assessment order set aside; matter remanded for fresh consideration with proper service of notice and opportunity of hearing.