The Rajasthan High court ruled that the advantage of the amnesty scheme beneath the Sabka Vikas Legacy Dispute Resolution Scheme, 2019 would not get refused only on the basis of the inquiry notice under section 125 of the GST Act issued to the taxpayer.
The applicant, M/s Sonjoli Construction Co, before the court comprises the application furnished through them would leave only an incorrect basis that the audit would be started, and thus the applicant was not qualified for the advantage of the SVLDR scheme.
The applicant submitted that the enquiry notice under GST Section 125(1)(i) as referred to in the order on 12/10/2020 was issued post to the cut-off date which is 30/06/2019 and like the similar barred over time and can not be utilized on the basis of petitioner depriving of any advantages from the voluntary Disclosure Scheme.
Justice Sandeep Mehta and Justice Chandra Kumar Songara directed that “the action of the respondents in initiating the enquiry and denying the petitioner the opportunity to avail benefit under the SVLDR Scheme is absolutely illegal and unjustified.”
The declaration GST forms furnished through the applicant are brought back for filing and would be remanded to respondent no.3 for accepting a new decision on these two declaration forms furnished through the applicant by treating that as valid declarations beneath the voluntary disclosure class and post to that provide the relief permitted to the applicant.
The respondents will issue an opportunity for a personal hearing to the applicant, giving him a 7 days notice prior to the date of the proposed hearing. The applicant, was present during the hearing before respondent no.3, without fail. Respondent no.3 will provide the reasoned order as per the law for the duration of 8 weeks from the date of receipt of an authenticated copy of this judgment. The order that is issued by respondent no.3 will be communicated to the applicant within 1 week from the date of giving an order.
“It is made clear that the respondents are empowered to take action under Section 129(2)(c) of the said Scheme if, within a period of one year of issuance of the discharge certificate against the petitioner, respondent no.3 finds that the material particulars furnished in the declaration filed by the petitioner are found to be false,” the Court articulated.
