Quick Summary: The Delhi High Court canceled a tax order against MS Jamil Trading Co because the company wasn't given a fair chance to explain their side. The court stressed the need for a proper hearing.
On 26th November 2025, the Delhi High Court, with Justices Prathiba M. Singh and Renu Bhatnagar, looked into a complaint by MS Jamil Trading Co. The company was challenging two earlier decisions about tax demands under the CGST Act. The first decision was made on 23rd August 2024, and the second on 16th April 2025.
The issue started when a notice was sent to the company on 31st May 2024. This notice asked for more taxes and talked about tax credits they shouldn't have gotten. However, MS Jamil Trading Co said they were only given five days to reply, which they thought was too short. The tax demand of Rs. 3,36,42,865 was confirmed just a week later.
"MS Jamil Trading Co complained that they were only given 5 days to respond."
After the first decision, MS Jamil Trading Co appealed on 21st December 2024. They got a notice for a personal meeting on 29th April 2024 for a session on 30th April 2024. Strangely, the decision on the appeal was made on 16th April 2024, before this meeting was supposed to happen.
"MS Jamil Trading Co was not given a proper chance to explain their side in the appeal."
The court saw that MS Jamil Trading Co didn't get a fair chance to explain their side during the appeal. The judges criticized the practice of setting up meetings just to post decisions without real discussions.
"Such a practice is confusing and needs to be reconsidered."
The court canceled the previous appeal decision and said a proper personal meeting should be held. They also made sure that all messages about the meeting would be sent to the company's provided email and phone number.
The court decided that MS Jamil Trading Co should be given another chance to present their case with a fair hearing. This decision reminds everyone of the importance of being fair and clear in legal processes, especially in tax matters.
