Once a matter is dropped at ASMT-10 level, no further proceedings can be initiated u/s 74
In a landmark ruling, the Punjab & Haryana High Court has clarified that if a taxpayer’s response to Form ASMT-10 is accepted and Form ASMT-12 is issued, further proceedings under Section 74 of the GST Act on the same grounds are prohibited—even if Form DRC-01A was issued earlier.
Key Highlights of the Judgment:
No Contradictory Actions: The Court emphasized that a Proper Officer cannot take contradictory views in DRC-01A and ASMT-12. Accepting the taxpayer’s response in ASMT-12 signifies that the matter is resolved.
Due Process upheld: Once proceedings are dropped under Section 61, reissuing notices for the same matter under Section 74 breaches procedural fairness.
Protection for Taxpayers: The Court cancelled the Section 74 proceedings, emphasizing that repeated actions on the same assessment are unfair to taxpayers.
This judgment reinforces the importance of clarity and consistency in GST compliance, protecting taxpayers from multiple proceedings on the same issue.
The case details is as under:
Neutral Citation : J.S.B Trading Co. | High Court of Punjab & Haryana | CWP-14843-2023 (O&M) | 2024:PHHC:14338-DB
The copy of the order is as under:
