Spectrum Ltd., a registered supplier located in the State of Madhya Pradesh, is engaged in supply of taxable goods. It has been regularly complying…

Spectrum Ltd., a registered supplier located in the State of Madhya Pradesh, is engaged in supply of taxable goods. It has been regularly complying with its statutory obligations under the GST law. For the financial year 2024–25, it duly filed all its monthly GST returns within the prescribed timelines. In the course of the scrutiny of its returns for the said financial year conducted in August 2025, the proper officer noticed an inadvertent short payment of CGST and SGST totalling to 4,60,000 pertaining to the month of October 2024, on account of a bonafide error. Before issuance of the show cause notice by the proper officer, Spectrum Ltd. paid the tax of 1,00,000 (₹ 50,000 CGST and - 50,000 SGST) on the basis of its own ascertainment along with applicable interest and with penalty, if any, on 15th September 2025 and informed the proper officer in writing of such payment. In the ordinary course of its business operations on 10th October 2025, Spectrum Ltd. engages Chhabra & Sons as an agent to sell goods on its behalf. Acting in such capacity, Chhabra & Sons sold goods to Alaska Associates on 25th October 2025, on behalf of Spectrum Ltd. Subsequently, in January 2026, in connection with a separate enquiry initiated against Spectrum Ltd., Sanyam Jain, the Chief Executive Officer (CEO) of the company, was issued a summon by the Central Tax Officer. The summon required him to appear in person and produce the books of accounts of Spectrum Ltd. for the purposes of the enquiry being conducted in respect of the said company. Note - Assume that the due date for furnishing annual return has not been extended and limitation period for issuance of order under section 74A has not been extended by the Commissioner.