GST Registered Person must Respond to SCN Despite dropped Scrutiny Proceedings: Madras HC

The Madras High Court ruled that even if scrutiny proceedings are dropped, a GST-registered person must respond to a show-cause notice (SCN) issued by tax authorities. The court emphasized that failure to respond could lead to adverse consequences, including a penalty. This decision underscores the importance of compliance and timely responses to legal notices under GST, regardless of ongoing scrutiny. It highlights the legal obligation of registered entities to engage with tax authorities throughout the assessment process to avoid penalties and legal ramifications.