The legal window for issuing Goods and Services Tax (GST) Show Cause Notices (SCNs) for Financial Years 2017-18 and 2018-19 is now completely closed. Taxpayers, CAs, and business owners can now consider these liabilities legally time-barred, with no new notices possible from the tax department.
Summary of Final GST SCN Deadlines
The deadlines for issuing SCNs and passing final orders varied based on the type of case and the financial year. The table below summarizes these deadlines, all of which have now passed.
| Financial Year | Case Type | SCN Issuance Deadline | Final Order Deadline | Status |
| 2017-18 | Non-Fraud (Sec 73) | September 30, 2023 | December 31, 2023 | Passed |
| 2017-18 | Fraud-Based (Sec 74) | August 5, 2024 | February 5, 2025 | Passed |
| 2018-19 | Non-Fraud (Sec 73) | December 31, 2023 | March 31, 2024 | Passed |
| 2018-19 | Fraud-Based (Sec 74) | June 30, 2025 | December 31, 2025 | Passed |
What This Means for You
The passing of these deadlines is a significant relief for taxpayers. Here’s what you need to know:
- No New Notices: The tax department can no longer issue any fresh SCNs for non-fraud or fraud-based cases for FY 2017-18 and 2018-19.
- Finality for FY 2017-18: All legal avenues for the department to pursue claims for FY 2017-18 are now exhausted.
- Legal Standing: Any SCN received for these periods after the respective deadlines is legally time-barred and can be challenged. The law is now firmly on the taxpayer’s side.
A Quick Look at Show Cause Notices (SCNs)
A GST SCN is a formal legal notice that gives a taxpayer an opportunity to present their side of a case before any final action is taken. They are commonly issued for reasons such as:
- Mismatches between GSTR-1 and GSTR-3B filings.
- Discrepancies in Input Tax Credit (ITC) claims.
- Non-payment or short payment of GST.
- Failure to file returns.
The Path Forward
While the legal notice window is closed, some related developments are still relevant:
- Amnesty Scheme: The government has introduced an amnesty scheme under Section 73, which allows taxpayers to settle old dues with waived penalties and interest, but this scheme is also set to conclude on March 31, 2025.
- New Legislation: Going forward, a new Section 74A of the CGST Act is expected to streamline tax demand and litigation processes, simplifying future tax disputes.
For businesses and CAs, the key message is clear: if you haven’t already received an SCN for the years 2017-18 and 2018-19, your old liabilities are now settled by time. It is crucial to be aware of these deadlines and to challenge any outdated claims that may surface.