Demand Order Invalid Without Issuance of Show Cause Notice (SCN), Rules Himachal Pradesh High Court

By: Admin | September 20, 2024 | Categories: #ImportantPronouncements, #GSTCompliance

In the case of M/s. Microtek Himachal Power Products (P.) Ltd. v. State of Himachal Pradesh [CWP No. 5562 of 2023], the Himachal Pradesh High Court ruled that a demand order under Section 74(9) of the CGST Act cannot be passed without the prior issuance of a *Show Cause Notice (SCN), as required under Section 74(1). The erroneous order was directed to be treated as an SCN, and the petitioner was instructed to file a reply within four weeks. This reinforces the importance of adhering to *principles of natural justice in tax proceedings.

#GSTLaw #SCNRequirement #DemandOrder #HimachalPradeshHighCourt #TaxCompliance #NaturalJustice #GSTUpdates #LegalRulings