Gauhati High Court
Tax LawAdministrative and Public Law

Consolidated show-cause notices and adjudication orders may cover multiple financial years under the CGST Act.

M/S North East Petrochemicals vs The Union Of India And Othrs

Gauhati High CourtJUDGMENT: July 17, 20262 MIN READSOURCE JUDGMENT
Consolidated show-cause notices and adjudication orders may cover multiple financial years under the CGST Act.. M/S North East Petrochemicals vs The Union Of India And Othrs. Gauhati High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

M/s North East Petrochemicals challenged the Order-in-Original dated 29 December 2025, by which tax of ₹7,21,64,532, along with applicable interest and penalty, was adjudged for the financial years 2018–19 to 2022–23.

Source reference: p.3, para. 2

The petitioner’s principal jurisdictional objection was that the Proper Officer could neither issue a consolidated show-cause notice covering multiple financial years nor pass a consolidated adjudication order for those years.

Source reference: p.3, para. 3

The petitioner also raised other grounds on the merits of the adjudication, which the High Court did not examine.

Source reference: p.5, para. 6
02

Issues

1. Whether the Proper Officer had jurisdiction to issue a consolidated show-cause notice under the CGST Act, 2017 for multiple financial years, namely 2018–19 to 2022–23.

Source reference: p.3, para. 3

2. Whether the Proper Officer had jurisdiction to pass a consolidated Order-in-Original for the same multiple financial years.

Source reference: p.3, para. 3

3. Whether the petitioner should be relegated to the statutory appellate remedy under Section 107 of the CGST Act, 2017, with appropriate protection concerning limitation and interim relief.

Source reference: p.5, paras. 7–8
03

Law Applied

The Court applied Sections 73(1), 73(9), 74(1) and 74(9) of the Central Goods and Services Tax Act, 2017, and relied on its earlier decision in M/s Tata Projects Limited v. Union of India & Others, 2026 SCC OnLine Gau 3798.

Source reference: p.3, para. 4

The governing rule was that the CGST Act contains no bar against issuing a consolidated show-cause notice for different financial years under Sections 73(1) or 74(1), or against passing a consolidated adjudication order for different financial years under Sections 73(9) or 74(9).

Source reference: p.3, para. 4

The Court further applied Section 107 of the CGST Act, 2017, recognising the statutory appeal as the appropriate remedy for challenges on the merits of the adjudication.

Source reference: p.5, para. 8(iii)
04

Reasoning

Following the binding jurisdictional reasoning adopted in M/s Tata Projects Limited, the Court held that the Proper Officer was legally empowered to issue a single consolidated show-cause notice and pass a single consolidated order covering the financial years 2018–19 to 2022–23.

Source reference: p.4, para. 5

Consequently, the petitioner’s challenge based solely on the alleged impermissibility of consolidation disclosed no jurisdictional error.

Source reference: p.4, para. 5

The Court expressly declined to examine the petitioner’s remaining objections concerning the legality or merits of the Order-in-Original, leaving those questions open for consideration in the statutory appeal.

Source reference: p.5, para. 6; p.5, para. 8(ii)
05

Holding

The writ petition was disposed of without interference with the Order-in-Original on the jurisdictional ground raised.

The Court held that the Proper Officer had jurisdiction to issue the consolidated show-cause notice and pass the consolidated Order-in-Original for 2018–19 to 2022–23.

Source reference: p.5, para. 8(i)

The petitioner was granted liberty to file an appeal under Section 107 of the CGST Act within 30 days from the judgment; if filed within that period, the Appellate Authority was directed to decide it without insisting on limitation.

Source reference: p.5, para. 8(iii)

Existing interim protection was directed to continue until the Appellate Authority considered the petitioner’s stay application, subject to timely filing of the appeal.

Source reference: p.6, para. 8(iv)

The Appellate Authority remained free to pass appropriate orders on the stay application, and no costs were awarded.

Source reference: p.6–7, paras. 8(v)–(vi)
06

Acts & Sections Cited

3 provisions across 1 statute referred to in this judgment. Each provision opens on LawLens.

Central Goods and Services Tax Act, 20173

Gauhati High Court

Original Court PDF

M/S North East PetrochemicalsvsThe Union Of India And Othrs

Gauhati High Court · July 17, 2026

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