Karnataka HC Sets Aside Duplicate GST Orders, Orders Fresh Hearing on GSTIN Cancellation | Biz Flow Kit

The Karnataka High Court has set aside a series of ex parte GST orders after determining that the authorities had passed two separate adjudication orders for the same tax period on the same basis, specifying it a case of order duplication. The Court asked for a fresh hearing on the GST registration cancellation.

The applicant, M/s Tech Desire Infra Private Limited, had contested adjudication orders passed u/s 73 of the CGST/KGST Act. The order concerns the Financial Year 2019-20.

The applicant claimed that from the proceedings, three ex parte orders (Annexures A, B, and C series) were laid. It was specified that orders at Annexures A and C were passed for the same tax period on the same basis of mismatch of Input Tax Credit (ITC). The order at Annexure-B1 was passed for discrepancies between GSTR-1 and GSTR-3B.

As per the applicant, the lapse in not answering the SCNs was bona fide as the company’s GST registration had been cancelled in 2023, which obstructed their ability to track and respond to the proceedings. The applicant asked for a chance to place material on record to reconcile the ITC mismatches.

The appeal had been opposed by the Additional Government Advocate, specifying that notices were duly served and the orders were passed because of the non-participation of the applicant.

Also Read: How GST Software Resolves GSTR-3B & 2A/2B ITC Mismatches

The bench of Justice S Sunil Dutt Yadav said that the orders were indeed ex parte and that the contention for the duplication of orders (Annexures A and C) for the same tax period needs reconsideration. The Court said that the case should be remitted to the adjudicating authority to permit the applicant to demonstrate their case on the merits.

“It is the contention of the petitioner that orders at Annexures-A and C series are passed regarding the same tax period and amounts to duplication of orders… it would be appropriate to remit the matter for reconsideration by putting the petitioner on terms.”

The High Court, concerning the same, set aside all the impugned orders and remitted the case to the Commercial Tax Officer for fresh adjudication from the phase of response to the SCN.

Important: How GST Software Fixes Common Mistakes in SCN Replies

The Court stipulated that the Petitioner must pay 10% of the disputed tax amounts from Annexure-A and B series for the case to be sent back for reconsideration. The applicant was asked to appear before the authority on 25.05.2026.