Section 54 of the CGST Act, 2017--- Refund —- The petitioner challenged an Order-in-Appeal dated 31.03.2022, whereby the Appeal filed against the order-in-original dated 06.04.2021 was rejected. Vide order the petitioner’s application for refund under Section 54 was rejected. The court observed that the SCN had proposed rejection on the premise that the lease of the property was required to be considered as supply of the services and the same were required to be valued in terms of Section 15. The contention that the impugned order was passed in violation of principles of natural justice is not persuasive. The record indicates that the petitioner was given an opportunity of a personal hearing but none had appeared. There is no dispute that the resolution plan was sanctioned by the National Company Law Tribunal and is binding. The petitioner’s contention that there was no supply of services, was not considered by the Appellate Authority. The impugned order largely proceeds on the basis that the supply of services was admitted and the refund of GST was sought on account of non-recovery of the lease rentals.

Held that:- The Hon’ble Court set aside the impugned order and remanded the matter to the Appellate Authority to consider the aforesaid contention and pass a speaking order after affording the petitioner a reasonable opportunity to be heard.