Unaware of GST Proceedings due to Closure of Factory: Madras HC Orders Re-adjudication on Pre-deposit

The Madras High Court recently set aside an order against M/s. Urbane Industries Limited due to procedural lapses in GST proceedings. The petitioner's factory had long been closed, leading to their unawareness of the assessment until a recent communication. Represented by J. Shankarraman, they argued that the order lacked reasoning and only confirmed the tax proposal. The court agreed, finding that principles of natural justice were not fully adhered to. As a result, the High Court remanded the matter for reconsideration, conditional upon the petitioner remitting 10% of the disputed tax within four weeks. They were granted an opportunity to respond to the show cause notice, ensuring a fair hearing. The case was disposed of without costs.