The bench found that the payment made by the petitioner on had not been duly considered in the impugned order

The Madras High Court has set aside a Goods and Services Tax ( GST ) order and directed a reconsideration of the case due to the department’s failure to acknowledge GST payments accompanied by interest. In accordance to returns filed by the petitioner,  Amici Design Private Limited, a notice in Form ASMT 10 had been issued to the petitioner on 11.03.2023, followed by a response from the petitioner on 26.04.2023, consenting to reverse Input Tax Credit (ITC) amounting to Rs. 66,920 each towards CGST and SGST. Despite subsequent issuance of a show-cause notice on 22.05.2023, the petitioner failed to respond, leading to the issuance of the impugned order. During the proceedings, the petitioner’s counsel submitted the reply to the notice in Form ASMT 10 and provided evidence of tax payment along with interest, which was subsequently uploaded on 19.07.2023 through Form GST DRC-03. However, the respondent advocate contended that Form GST DRC-03 was uploaded only after the impugned order had been issued and asserted that the entire tax liability remained unpaid by the petitioner. The bench of Justice Senthilkumar Ramamoorthy found that the payment made by the petitioner on 06.05.2023 had not been duly considered in the impugned order. Consequently, the court deemed it necessary to set aside the order for reconsideration. The impugned order dated 19.07.2023 was set aside and the matter was remitted for reconsideration. The petitioner is permitted to submit a reply to the show cause notice dated 22.05.2023 within a period of two weeks from the date of receipt of a copy of this order. Upon receipt thereof, the respondent was also directed to provide a reasonable opportunity to the petitioner, including a personal hearing, and thereafter issue a fresh order within three months from the date of receipt of the petitioner’s reply. The court disposed of the writ petition without imposing any costs. Ms. C.Rekhakumari appeared for the petitioner and Mrs.K.Vasanthamala, Govt. Adv. (T) appeared for the respondent.