Delay Condoned as HC Finds Valid Grounds and Lack of Proper GST Notice

The assessee challenged the rejection of his GST appeal by the Deputy Commissioner (CT). The petitioner was not made aware of a show-cause notice that was only posted on the GST portal and not served in hard copy. As a result, the assessment order requesting tax, penalty, and interest for AY 2018–19 was also posted on the portal. Only after receiving an intimation notice did the petitioner learn of the order.

He then filed an appeal before the third respondent after a 39-day delay, stating that his GST consultant’s poor health had further delayed the filing of appeal and that he was not aware of the order because a physical copy had not been served. Due to time-barred grounds, the appeal was denied. The petitioner approached the High Court, offering to deposit an additional 10% of the disputed tax apart from the statutory 10% already deposited.

Central Issue: Is it possible to excuse the petitioner’s 39-day delay in filing the GST appeal due to the portal-only notice service and the consultant’s poor health in order to allow for a merit-based decision?

HC Held: The Court permitted the writ petition, overturning the order of rejection issued by the Deputy Commissioner and allowing the 39-day delay. Since the assessment order was only posted on the GST portal and was never served in person, the court determined that the petitioner had provided valid justifications for the delay. The Court determined that the explanation was genuine due to the petitioner’s consultant’s poor health and their voluntary commitment to deposit an extra 10% of the contested tax.

The Court ordered the Deputy Commissioner (CT) to take the appeal on file and decide it on its merits in line with the law after giving the petitioner a fair hearing and receiving the additional 10%. Following these instructions, the writ petition was dismissed, and related miscellaneous petitions were disposed of.

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