S.A.Umayaal Devi v. The Commissioner Of Commercial Taxes

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 22.04.2025

CORAM

THE HON'BLE MR.K.R.SHRIRAM, CHIEF JUSTICE AND THE HON'BLE MR.JUSTICE MOHAMMED SHAFFIQ and WMP No.5662 of 2023 S.A.Umayaal Devi Partner of M/s. Shree Balaji Gas Agency : Petitioner Vs 1.The Commissioner of Commercial Taxes Ezhilagam, Chepuak, Chennai 600 005 2.The Deputy Commissioner (State) Inspection - I, Intelligence I Chennai 600 006 3.The Assistant commissioner (Circle) Royapuram Zone II Chennai North, Tamil Nadu : Respondents Prayer: Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Certiorarified Mandamus calling for records of the impugned cancellation order dated 16.02.2022 vide reference No. ZA330222067622X passed by the 3rd respondent and quash the same and consequently direct the respondents to defreeze the petitioner firm namely

Sree Balaji Gas Agency bank accounts and consequently allow the petitioner firm namely Sree balaji Gas Agency to pay the remaining dues and to file all pending returns.

For Petitioner :

No appearance For Respondent :

Mr.V.Prasanth Kiran, Government Advocate

ORDER

(Order of the Court was made by the Hon'ble Chief Justice) Counsel for petitioner is absent.

2. Counsel for Revenue states that the issue involved in this petition is covered by a judgment of this Court in Tvl. Suguna Cutpiece Center vs. The Appellate Deputy Commissioner (ST) (GST), Salem1.

3. Therefore, the petition is allowed.

4. The parties are directed to comply with the conditions given in 2022 SCC OnLine Mad 9099

paragraph 227 of the said judgment, which reads as follows: "227. In the light of the above discussion, these Writ Petitions are allowed subject to the following conditions:- i.The petitioners are directed to file their returns for the period prior to the cancellation of registration, if such returns have not been already filed, together with tax defaulted which has not been paid prior to cancellation along with interest for such belated payment of tax and fine and fee fixed for belated filing of returns for the defaulted period under the provisions of the Act, within a period of forty five (45) days from the date of receipt of a copy of this order, if it has not been already paid. ii.It is made clear that such payment of Tax, Interest, fine / fee and etc. shall not be allowed to be made or adjusted from and out of any Input Tax Credit which may be lying unutilized or unclaimed in the hands of these petitioners.

iii.If any Input Tax Credit has remained utilized, it shall not be utilised until it is scrutinized and approved by an appropriate or a competent officer of the Department. iv.Only such approved Input Tax Credit shall be allowed for being utilized thereafter for discharging future tax liability under the Act and Rule.

v.The petitioners shall also pay GST and file the returns for the period subsequent to the cancellation of the registration by declaring the correct value of supplies and payment of GST shall also be in cash.

vi.If any Input Tax Credit was earned, it shall be allowed to be utilised only after scrutinising and approving by the respondents or any other competent authority. vii.The respondents may also impose such restrictions / limitation on petitioners as may be warranted to ensure that there is no undue passing of Input Tax Credit pending such exercise and to ensure that there is no

violation or an attempt to do bill trading by taking advantage of this order.

viii.On payment of tax, penalty and uploading of returns, the registration shall stand revived forthwith. ix.The respondents shall take suitable steps by instructing GST Network, New Delhi to make suitable changes in the architecture of the GST Web portal to allow these petitioners to file their returns and to pay the tax/penalty/fine.

x.The above exercise shall be carried out by the respondents within a period of thirty (30) days from the date of receipt of a copy of this order."

5. There will be no order as to costs. Consequently, the interim application also stands disposed of.

(K.R.SHRIRAM, CJ.) (MOHAMMED SHAFFIQ, J.) 22.04.2025 Index : Yes/No : Yes/No tar

To 1.The Commissioner of Commercial Taxes Ezhilagam, Chepuak, Chennai 600 005 2.The Deputy Commissioner (State) Inspection - I, Intelligence I Chennai 600 006 3.The Assistant commissioner (Circle) Royapuram Zone II Chennai North, Tamil Nadu

THE HON'BLE CHIEF JUSTICE AND MOHAMMED SHAFFIQ , J.

(tar) 22.04.2025