Delhi High Court Orders Reconsideration After GST Notices Found Uploaded in Additional Notices Tab

In a significant ruling, the Delhi High Court directed reconsideration of a GST adjudication order after observing that key notices were uploaded only in the “Additional Notices” tab on the GST portal, without ensuring effective communication to the taxpayer.

The Court emphasized that mere technical uploading of notices does not amount to proper service if the taxpayer is deprived of a fair opportunity to respond.

Background of the Case

The petitioner challenged a GST demand order passed without proper participation in the proceedings. The taxpayer contended that show cause notices and hearing communications were not effectively served and were only available under the “Additional Notices” section of the GST portal.

As a result, the petitioner claimed it was unaware of the proceedings and could not file a proper reply or attend the hearing.

The department argued that the notices were uploaded on the portal and therefore validly served.

Key Issue Before the Court

Whether uploading notices under the “Additional Notices” tab on the GST portal, without ensuring that the taxpayer was properly informed, satisfies the requirement of valid service and opportunity of hearing under GST law.

Court’s Observations

The Delhi High Court observed:

• Principles of natural justice require that a person must be given a real and effective opportunity to respond.

• Technical compliance of uploading notices is not sufficient if it results in denial of proper hearing.

• The GST portal system must ensure clarity and transparency in communication.

• An adjudication order passed without effective service of notice cannot be sustained.

The Court noted that procedural fairness is not an empty formality. If a taxpayer is genuinely unaware of the proceedings due to portal-related communication gaps, the matter deserves reconsideration.

Final Ruling

The High Court:

• Set aside the impugned GST order

• Directed the department to grant a fresh opportunity of hearing

• Ordered reconsideration of the matter after allowing the petitioner to file a reply

Legal Significance

This ruling reinforces a crucial principle under GST proceedings:

• Digital service of notice must still comply with natural justice.

• Authorities cannot rely solely on portal uploads without ensuring effective communication.

• Orders passed without fair hearing are liable to be quashed.

The judgment highlights that technology cannot override procedural fairness.

Practical Takeaway

For taxpayers:

• Regularly monitor all tabs on the GST portal, including “Additional Notices.”

• Maintain login tracking and communication records.

• Act immediately upon discovering any pending notice.

For the department:

• Ensure clear, transparent, and effective service of notices.

• Avoid passing ex parte orders without confirming proper communication.

  Summary

  The Delhi High Court set aside a GST adjudication order after finding that crucial notices were merely uploaded in the “Additional Notices” tab on the GST portal without ensuring effective communication to the taxpayer. The Court held that technical uploading alone does not amount to valid service if it results in denial of a fair opportunity to respond.

  Emphasizing the principles of natural justice, the Court ruled that procedural fairness cannot be sacrificed in the name of digital compliance. An order passed without ensuring that the taxpayer had real notice and a genuine chance to be heard cannot stand in law.

  The matter was remanded for fresh consideration, with directions to grant the petitioner a proper opportunity of hearing. The judgment reinforces a clear message: digital processes must support, not defeat, the right to natural justice.