Top Stories Failure to attend hearing fixed by SCN regarding ITC due to death of Husband: Delhi HC directs Re adjudication [Read Order] Delhi High Court directs readjudication due to failure to attend the hearing fixed by the Show Cause Notice(SCN) regarding the Input Tax Claim due to the death of the husband By Aparna. M – On April 30, 2024 1:51 pm – 2 mins read In a significant case, the Delhi High Court directs re adjudication due to failure to attend the hearing fixed by the Show Cause Notice ( SCN ) regarding the Input Tax Claim due to the death of the husband.

The writ petition was filed by the petitioner Anita Bansal Proprietress Of M/S A.B. Enterprises against the order and SCN proposing a demand of Rs.21,11,088.00. Before the division bench  Rajesh Jain, counsel for the petitioner submitted that the petitioner could not respond to the Show Cause Notice as on the date fixed for hearing the husband of the proprietor expired and thereafter the default assessment order had been issued.

Further submits that the Perusal of the order shows that the order has been passed disposing of the Show Cause Notice solely on the ground that no reply/explanation has been received from the taxpayer. Moreover the Petitioner has also annexed the medical record of the husband of the petitioner which shows that he was admitted in the hospital on 04.11.2023 and thereafter expired on 20.12.2023 after a prolonged illness It was observed by the court that the petitioner was prevented from filing a response to the Show Cause Notice on account of the serious illness of her husband. Accordingly, petitioner is liable to be granted an opportunity to respond to the Show Cause Notice.

After analyzing the facts and arguments of both parties, a division bench of Justice Sanjeev Sachdeva  and Justice Ravinder Dudeja set aside the order passed under Section 73 of the Central Goods and Services Tax Act, 2017. Accordingly the bench directs re adjudication due to failure to attend the hearing fixed by the Show Cause Notice ( SCN ) regarding the Input Tax Claim due to the death of the husband.