Ms No.1 Transporrt v. The Deputy State Tax Officer 1
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 18.03.2026
CORAM
THE HONOURABLE MR.JUSTICE C.SARAVANAN and W.M.P.Nos.11549 & 11551 of 2026 M/s.No.1 Transport Rep. By its Prop. Kadappamadai Thirumoorthy Gowtham Sellappan No.88/H, M.C.Road Cross Street-2 Perundurai, Perundurai Erode, Tamil Nadu - 638 052.
... Petitioner Vs.
The Deputy State Tax Officer-1 O/o. The Deputy Commercial Tax officer Perundurai Assessment Circle Integrated Commercial Taxes Building 3rd Floor, S.F.No.400/1, 7, 8 46, Pudhur 'B' Village Ring Road, Erode, Tamil Nadu - 638 002.
... Respondent Prayer:
Writ Petition filed under Article 226 of Constitution of India, praying to issuance of Writ of Certiorari, calling for the records on the files of the original impugned order in GSTIN:33CJSPG5784J1ZL/202122 along with the consequential proceedings in GST DRC-07 vide ref.No.ZD331225401391Z dated 26.12.2025 passed by the respondent under Section 73 for the FY 2021-2022 and quash the same. 1/7
For Petitioner :
Ms.R.Hemalatha For Respondent :
Ms.P.Selvi Government Advocate *****
O R D E R
Ms.P.Selvi, learned Government Advocate, accepts notice for the respondent.
2. This Writ Petition is being disposed of at the time of admission with the consent of the learned counsel for the Petitioner and the learned Government Advocate for the Respondent.
3. The petitioner is before this Court challenging the impugned order dated 26.12.2025, whereby the proposal in show cause notice in DRC-01 dated 22.09.2025 has been confirmed in the absence of a proper evidence to support the claim for exemption. The impugned order extracts the content of the show cause notice wherein, it has been stated as under:
4. The petitioner's reply has also been extracted in the impugned order which reads as follows:
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5. The present Writ Petition has been filed on 12.03.2026, within the limitation prescribed for filing an appeal under Section 107 of the respective GST Enactments.
6. At this stage, the learned counsel for the Petitioner submits that the Petitioner is willing to pre-deposit 10% of the disputed tax as a condition for de novo adjudication.
7. The learned counsel for the petitioner has made an endorsement to that effect, which is extracted hereunder:- "petitioner willing to pay 10%"
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8. Recording the above consent given by the petitioner, the case is remitted back to the Respondent to pass a fresh order subject to the Petitioner depositing 10% 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.
9. Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 22.09.2025 together with requisite documents to substantiate the case by treating the impugned Order dated 26.12.2025 as an addendum to the Show Cause Notice dated 22.09.2025.
10. 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.
11. It is made clear that bank attachment shall be lifted subject to the deposit of 10% of the disputed tax as ordered above and the Petitioner not being in arrears of any other amount for any other tax period barring the amount demanded under the impugned Order. 5/7
12. 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 in limine today.
13. Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.
14. This Writ Petition stands disposed of with the above observations. No costs. Connected Writ Miscellaneous Petitions are closed.
18.03.2026 Index: Yes/No Speaking Order : Yes/No mk To The Deputy State Tax Officer-1 O/o. The Deputy Commercial Tax officer Perundurai Assessment Circle Integrated Commercial Taxes Building 3rd Floor, S.F.No.400/1, 7, 8 46, Pudhur 'B' Village Ring Road, Erode, Tamil Nadu - 638 002.
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C.SARAVANAN, J mk 18.03.2026 7/7