GST
Order goes beyond the show cause notice
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Facts
Sec 75(7) says the amount of tax, interest and penalty in the order cannot exceed the amount in the notice, and no demand can be confirmed on grounds other than those in the notice.
Provisions and law
- Sec 75(7), CGST Act 2017Order cannot exceed the amount or go beyond the grounds in the notice
- Sec 107(1), CGST Act 2017Appeal to the Appellate Authority within three months of the order
Analysis
If the notice proposed ₹4,00,000 and the order confirms ₹5,50,000, the extra ₹1,50,000 is beyond the notice. Similarly, if the notice was about ITC and the order adds an issue on classification, that new ground is not valid. Raise both points clearly in appeal.
Conclusion
- Put the notice and the order side by side
- Mark amounts and grounds not in the notice
- Raise Sec 75(7) in the appeal grounds
- Seek rectification for obvious amount errors
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