GST Personal Hearing Notice sent through Registered Post: Madras HC orders to grant Hearing on 15% Pre-deposit

The Madras High Court recently ruled that a personal hearing must be granted regarding the 15% pre-deposit requirement under GST laws. The decision overturned an earlier order due to the absence of a prior hearing. In the case brought by Abi Constructions, the petitioner contested a tax demand, arguing they were unaware of proceedings as notices were only uploaded on the GST portal, not communicated through other means. The court noted discrepancies in return filings between the petitioner and the recipient of services, yet emphasized the lack of a hearing before confirming the tax proposal. Ultimately, the court set aside the original order, directing the petitioner to remit 15% of the disputed tax and submit objections within fifteen days. The State Tax Officer was instructed to provide a personal hearing and issue a fresh order within three months. The ruling highlights procedural fairness in tax assessments under GST laws.