M .S Distributors v. Assisstant Commissioner State Taxes

IN THE HIGH COURT OF JUDICATURE AT MADRAS Dated : 11.03.2025

CORAM

THE HON'BLE Mr. JUSTICE KRISHNAN RAMASAMY & W.M.P.Nos.8961 & 8962 of 2025 M.S.Distributors, Rep by its Proprietor, Mr.Ajay Dugar, Office at No.2A, Dugar Tower, Mettupakkam Main Road, Maduravoyal, Chennai 600 095 ... Petitioner Vs.

Assistant Commissioner State Taxes, Vanagaram Assessment Circle, Commercial Taxes Building, No.4/109, 2nd Floor, Nazatpettai, Chennai 600 123 ... Respondent Prayer:

Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorari, to call for the records relating to the impugned order dated 10.02.2025 having Ref.No.ZD330225094602K and consequential order passed by the respondent in GSTIN 33AAFPD0993E1Z4/2020-21 and quash the same.

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For Petitioner : Mr.Kumarpal Chopra For Respondent : Ms.Amirta Poonkodi Dinakaran, Government Advocate

ORDER

This writ petition has been filed challenging the impugned order dated 10.02.2025 passed by the respondent.

2. Ms.Amirta Poonkodi Dinakaran, learned Government Advocate, takes notice on behalf of the respondent. By consent of the parties, the main writ petition is taken up for disposal at the admission stage itself.

3. The learned counsel for the petitioner would submit that all notices/communications were uploaded by the respondent in the GST portal. Since the petitioner's consultant was not aware of the said notices, they failed to file their reply within the time. Under these circumstances, the impugned order came to be passed by the respondent without providing any opportunity of personal hearing to the petitioner. Hence, this petition has been filed.

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4. Further, he would submit that the petitioner is willing to pay 10% of the disputed tax amount to the respondent. Hence, he requests this Court to grant an opportunity to the petitioner to present their case before the respondent by setting aside the impugned order.

5. On the other hand, the learned Government Advocate appearing for the respondent would submit that the respondent had uploaded the notices in the GST Online Portal. But the petitioner failed to avail the said opportunity. Further, she has fairly admitted that no opportunity of personal hearing was provided to the petitioner prior to the passing of impugned order. That apart, since the petition has been filed within the limitation, she requested this Court to remit the matter back to the respondent, subject to the payment of 10% of the disputed tax amount by the petitioner.

6. Heard the learned counsel for the petitioner and the learned Government Advocate for the respondent and also perused the materials available on record.

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7. In the cases on hand, it is clear that no opportunity of personal hearing was provided to the petitioner prior to the passing of impugned order. Hence, this Court is of the view that the impugned order was passed in violation of principles of natural justice since it is just and necessary to provide an opportunity to the petitioner to establish their case on merits.

8. Further, it was submitted by the learned counsel for the petitioner that the petitioner is willing to pay 10% of the disputed tax amount to the respondent. In such view of the matter, this Court is inclined to set aside the impugned order dated 10.02.2025 passed by the respondent. Accordingly, this Court passes the following order:- (i) The impugned order dated 10.02.2025 is set aside and the matter is remanded to the respondent for fresh consideration on condition that the petitioner shall pay 10% of disputed tax amount to the respondent, within a period of four weeks from today (11.03.2025) and the setting aside of the impugned 4/6

order will take effect from the date of payment of the said amount.

(ii) The petitioner shall file their reply/objection along with the required documents, if any, within a period of three weeks from the date of receipt of copy of this order.

(iii) On filing of such reply/objection by the petitioner, the respondent shall consider the same and issue a 14 days clear notice, by fixing the date of personal hearing, to the petitioner and thereafter, pass appropriate orders on merits and in accordance with law, after hearing the petitioner, as expeditiously as possible.

9. With the above directions, this writ petition is disposed of. No costs. Consequently, the connected miscellaneous petitions are also closed.

11.03.2025 Speaking/Non-speaking order Index : Yes / No nsa 5/6

KRISHNAN RAMASAMY.J., nsa To Assistant Commissioner State Taxes, Vanagaram Assessment Circle, Commercial Taxes Building, No.4/109, 2nd Floor, Nazatpettai, Chennai 600 123 & W.M.P.Nos.8961 & 8962 of 2025 11.03.2025 6/6