Abbott Healthcare Private Limited Vs Excise and Taxation Commissioner

The High Court of Punjab and Haryana has taken notice of a show cause notice (SCN) issued to a prominent pharmaceutical manufacturer regarding tax, interest, and penalties exceeding Rs. 100 crores. The SCN was based on an audit conducted by the Comptroller and Auditor General (CAG), raising questions about the legality of such an audit on a private entity. - The SCN was rendered invalid as it did not contain a Digital Identification Number (DIN), it was unsigned, and it was sent via email rather than being formally uploaded to the GST portal, breaking procedural rules. - Furthermore, the SCN was issued by a State Tax officer, who may not have been authorized under Section 73. Importantly, the proper pre-SCN procedure outlined under Form DRC-01A was not followed. - The High Court has granted a stay against the SCN and has requested the Revenue to clarify the legitimacy of the CAG's audit on a private party, with the matter set to be listed for further discussion on September 23, 2024. The authorities have been directed to refrain from issuing any final orders in the meantime.