C/SCA/8050/2020 ORDER IN HIGH COURT OF GUJARAT AT AHMEDABAD R/SPECIAL CIVIL APPLICATION NO. 8050 of 2020 M/S CERA SANITARYWARE LIMITED Versus STATE OF GUJARAT & 1 other(s) Appearance: MR AKSHAY VAKIL(5473) for Petitioner(s) No. 1 MS MANISHA L SHAH, GOVERNMENT PLEADER for Respondent(s) No. 1,2 CORAM:HONOURABLE CHIEF JUSTICE MR. VIKRAM NATH and HONOURABLE MR. JUSTICE J.B.PARDIWALA Date : 14/07/2020 ORAL ORDER (PER : HONOURABLE MR. JUSTICE J.B.PARDIWALA) 1 By this writ application under Article 226 of Constitution of India, writ applicant, company incorporated under Companies Act, 1956 through its authorized person, has prayed for following reliefs: [A] Your Lordship may be pleased to admit and allow this writ petition. [B] Hon ble Court may be pleased to issue writ of mandamus, or any other appropriate writ, order or direction quashing and setting aside impugned Notice dated 03-03-2020 in FORM GST DRC-01A as being illegal, arbitrary, without jurisdiction and unconstitutional. Page 1 of 4 Downloaded on : Tue Apr 27 11:50:08 IST 2021 C/SCA/8050/2020 ORDER [C] Pending admission hearing and final disposal of this petition, Hon ble Court, may be pleased to grant interim as well as Ad-interim reliefs and thereby restrain Respondents from initiating any further proceedings towards notice dated 03-03-2020 including attachment and recovery proceedings against Petitioner. [D] Cost of Proceedings to Petitioner. [E] Your lordships may kindly be pleased to pass any other further order as deemed fit just and proper in facts of circumstances of case and in interest of justice. 2 subject matter of challenge is notice of intimation under Section 74(5) of Goods and Service Tax Act, 2017 of amount of tax as ascertained by authority. impugned order is in FORM GST DRC- 01A dated 03.03.2020 issued by respondent No.2. By impugned communication, writ applicant has been informed about his liability to pay tax, interest and penalty to tune of Rs.80,69,313/- (Rupees Eighty Lakhs Sixty Nine Thousand Three Hundred and Thirteen only). 3 impugned communication further states that failure on part of writ applicant in depositing requisite amount referred to above may entail show cause notice under Section 74(1) of Act, 2017. 4 Mr. Akshay Vakil, learned counsel appearing Page 2 of 4 Downloaded on : Tue Apr 27 11:50:08 IST 2021 C/SCA/8050/2020 ORDER for writ applicant, would submit that impugned communication under Section 74(5) of Act, 2017 is illegal and his second submission is with regard to illegal access made in business premises as provided under Section 71 of Act, 2017. 5 We may clarify that so far as second submission with regard to Section 71 of Act, 2017 is concerned, same is not subject matter of challenge in this petition. subject matter of challenge is only legality and validity of notice of intimation under Section 74(5) of Act, 2017. 6 Having heard learned counsel appearing for parties and having gone through materials on record, we are of view that writ application challenging notice of intimation in FORM GST DRC-01A issued under Section 74(5) of Act is not maintainable in law. It is just intimation. It is up to writ applicant whether to pay attention to such intimation or not. If writ applicant deems fit to ignore it, same may entail consequence of further show cause notice under Section 74(1) of Act, 2017. In any view of matter, even if further notice under Section 74(1) of Act, 2017 is issued, opportunity of hearing will definitely be given to writ applicant before his actual liability is determined under Act, 2017. Page 3 of 4 Downloaded on : Tue Apr 27 11:50:08 IST 2021 C/SCA/8050/2020 ORDER 7 In view of above, this writ application fails and is hereby rejected. (VIKRAM NATH, CJ) (J. B. PARDIWALA, J) DRASHTI K. SHUKLA Page 4 of 4 Downloaded on : Tue Apr 27 11:50:08 IST 2021 Cera Sanitaryware Limited v. State of Gujarat & 1 Other