Energy Electricals v. Deputy State Tax Officer
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 09.01.2026 CORAM :
THE HONOURABLE MR.JUSTICE C.SARAVANAN and W.M.P.Nos.991 and 992 of 2026 Energy Electricals, Represented by its Proprietor, Tmt.Kalaivani, No.19, Thirumal Nagar, Moondramkattalai, Kundrathur, Chennai-600 069.
... Petitioner Vs.
Deputy State Tax Officer, Kundrathur Assessment Circle, No.4/109, 1st Floor, Bangalore - Chennai Highway, Varadharajapuram, Nazarathpet, Chennai-600 123.
... Respondent Prayer: Writ Petition filed under Article 226 of the Constitution of India, for issuance of a Writ of Certiorari, to call for the records of the Respondent herein in impugned order in Form DRC-07 having reference No.ZD331025247915F dated 24.10.2025 for the assessment year 2021-22 passed under Section 73 of the Tamil Nadu Goods and Service Tax Act, 2017 read with Central Goods and Service Tax Act, 2017 herein after referred to as GST Act, 2017 and quash the same as arbitrary, unjust and illegal and violative of principles of Natural Justice and consequently direct the respondent to redo the assessment after affording opportunity of personal hearing to the petitioner.
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For Petitioner : Mr.Suresh T For Respondent : Mr.V.Prashanth Kiran, Government Advocate *************
O R D E R
Mr.V.Prashanth Kiran, learned Government Advocate takes notice for the Respondent.
2. This Writ Petition is being disposed of at the stage of admission itself with the consent of the learned counsel for the Petitioner and the learned Government Advocate for the Respondent.
3. In this Writ Petition, the Petitioner has challenged the impugned Order dated 24.10.2025, which was preceded by a Show Cause Notice in GST DRC-01 dated 29.05.2025 wherein the Petitioner was called upon to appear for personal hearing. However, the Petitioner had not taken advantage of the same and thus, suffered the impugned Order dated 24.10.2025.
4. The Petitioner was also issued with Reminders on 10.09.2025 and 17.09.2025, which called upon the Petitioner to file a reply and to appear for a personal hearing. The Petitioner however neither filed any reply nor 2/6
appeared for the personal hearing fixed on 17.09.2025 and 24.09.2025. Thus, the impugned Order has been passed.
5. It is noticed that the limitation for filing an appeal under Section 107 of the respective GST enactments, 2017 against the impugned Order has already expired. The present Writ Petition has been filed only on 06.01.2026.
6. Under similar circumstances, Orders have been quashed and cases have been remitted back to the Respondent to pass a fresh order on terms subject to such Assessee depositing 25% to 100% of the disputed tax depending upon the length of delay in approaching the Court. I do not find any reason to take a different view in this case.
7. Therefore, to balance the interest of both parties viz., the Assessee and the Revenue, the case is remitted back to the Respondent to pass a fresh order on merits subject to the Petitioner depositing 25% of the disputed tax in cash from the Petitioner's Electronic Cash Register within a period of thirty (30) days from the date of receipt of a copy of this order. 3/6
8. Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 29.05.2025 together with requisite documents to substantiate the case by treating the impugned Order dated 24.10.2025 as an addendum to the Show Cause Notice dated 29.05.2025.
9. In case the Petitioner complies with the above stipulations, the Respondent shall proceed to pass a final order on merits and in accordance with law as expeditiously as possible, preferably, within a period of three (3) months of such reply/pre-deposit. Subject to the Petitioner complying with the above stipulations, the attachment of the bank account of the Petitioner shall also stand automatically vacated.
10. It is made clear that bank attachment shall be lifted subject to the deposit of 25% of the disputed tax as ordered above and the Petitioner not being in arrears of any other amount barring the amount demanded under the impugned Order.
11. In case the Petitioner fails to comply with any of the stipulations, the Respondent is at liberty to proceed against the Petitioner to recover the tax in accordance with law as if this Writ Petition was dismissed 4/6
in limine today.
12. Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.
13. This Writ Petition stands disposed of with the above observations. No costs. Connected Writ Miscellaneous Petitions are closed. 09.01.2026 nvi To:
Deputy State Tax Officer, Kundrathur Assessment Circle, No.4/109, 1st Floor, Bangalore - Chennai Highway, Varadharajapuram, Nazarathpet, Chennai-600 123.
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C.SARAVANAN, J.
nvi W.P.No.822 of 2026 and W.M.P.Nos.991 and 992 of 2026 09.01.2026 6/6