Unsigned Assessment Order Invalid: Signature Essential for Validity
Summary in Key Points:
- Issue: Was the assessment order valid when it lacked the signature of the assessing officer?
- Facts: The assessee challenged the assessment order, arguing, among other things, that it was not signed by the assessing officer.
- Decision: The court held that a signature on an assessment order is indispensable. The absence of the assessing officer’s signature renders the assessment order invalid. Consequently, the impugned order was set aside.
Important Note: This decision highlights the fundamental importance of a signature on an assessment order. It emphasizes that a signature is not a mere formality but a crucial element that validates the order. The absence of a signature suggests a lack of authentication and renders the order legally flawed. This ruling reinforces the need for strict adherence to procedural requirements in tax assessments to ensure their validity.
HIGH COURT OF ANDHRA PRADESH
Sandhya Constructions
v.
State of Andhra Pradesh
R. Raghunandan Rao and Dr. VENKATA JYOTHIRMAI PRATAPA, JJ.
WRIT PETITION NO: 31441 of 2024
JANUARY 3, 2025
Peddibhotla Venkata Sai Rajesh for the Petitioner.
ORDER
R. Raghunandan Rao, J.- The petitioner was served with an assessment order, in Form GST DRC-07, dated 29.04.2023, passed by the 3rd respondent, under the Goods and Service Tax Act, 2017 [for short “the GST Act”], for the period 2019-20 to 2020-21. This order has been challenged by the petitioner in the present writ petition.
2. This assessment order, in Form GST DRC-07, is challenged by the petitioner, on various grounds, including the ground that the said proceeding does not contain the signature of the assessing officer.
3. Learned Government Pleader for Commercial Tax, on instructions, submits that there is no signature of the assessing officer, on the impugned assessment order.
4. The effect of the absence of the signature, on an assessment order was earlier considered by this Court, in the case of A.V. Bhanoji Row v. The Assistant Commissioner (ST), in W.P.No.2830 of 2023, decided on 14.02.2023. A Division Bench of this Court, had held that the signature, on the assessment order, cannot be dispensed with and that the provisions of Sections-160 & 169 of the Central Goods and Service Tax Act, 2017, would not rectify such a defect. Following this Judgment, another Division Bench of this Court, in the case of M/s. SRK Enterprises v. Assistant Commissioner, in W.P.No.29397 of 2023, decided on 10.11.2023, had set aside the impugned assessment order.
5. Another Division Bench of this Court by its Judgment, dated 19.03.2024, in the case of M/s. SRS Traders v. The. Assistant Commissioner ST & ors, in W.P.No.5238 of 2024, following the aforesaid two Judgments, had held that the absence of the signature of the assessing officer, on the assessment order, would render the assessment order invalid and set aside the said order.
6. Following the aforesaid Judgments, the impugned assessment order would have to be set aside on account of the absence of the signature of the assessing officer, on the impugned assessment order.
7. Accordingly, this Writ Petition is allowed setting aside the impugned assessment order in Form GST DRC-07, dated 29.04.2023, issued by the 3rd respondent, with liberty to the 3rd respondent to conduct fresh assessment, after giving notice and by assigning a signature to the said order. The period from the date of the impugned assessment order, till the date of receipt of this Order shall be excluded for the purposes of limitation. There shall be no order as to costs.