Section 174 of the CGST Act, 2017—Levy of Service Tax --- The petitioner challenged show cause notice on the ground that the proposed levy of service tax is not legally valid. The petitioner submitted that w.e.f. 01.07.2017, the legal regime has changed and the basis for SCN to be some audit comments or objections, which cannot be the valid premise for imposition of the levy and collection of tax. The Court observed that post GST, the Finance Act has been repealed but Section 174(2)(c) preserve the levy in so far as any liability to pay tax was incurred by the individual or concern, prior to its enactment w.e.f. 1.7.2017.
Held that:-The Hon’ble High Court held that the writ is not maintainable.—Aravali Minerals and Chemicla ind. Pvt. Ltd. VS. uoi.[2019] 14 TAXLOK.COM 67 (RAJ)