Sps Enterprises v. Deputy State Tax Officer 2
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 24.03.2026 CORAM :
THE HONOURABLE MR.JUSTICE C.SARAVANAN and W.M.P.Nos.s.12156 and 12158 of 2026 SPS Enterprises, Rep by its Proprietor Loganathan Abirami ... Petitioner Vs.
Deputy State Tax Officer-2 Sriperumpudur Assessment Circle, Commercial Taxes Building, Bangalore-Chennai Highway, Nazarathpet, Poonamalle-600 123.
... Respondent Prayer : Writ Petition filed under Article 226 of the Constitution of India, for issuance of a Writ of Certiorarified Mandamus, calling for the records of the Respondent herein in impugned order in Form DRC-07 having reference No.ZD331025176844C dated 16.10.2025 for the financial year 2021-22 passed under Section 73 of the Tamilnadu Goods and Service Tax Act, 2017 r/w 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 consider the matter afresh on merits after providing an opportunity of personal hearing.
1/6
For Petitioner : Mr.V.Parthiban For Respondent : Mr.V.Prashanth Kiran, Government Advocate
ORDER
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 16.10.2025, which was preceded by a Show Cause Notice in GST DRC-01 dated 24.08.2025 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 16.10.2025.
4. 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 17.03.2026. 2/6
5. At this stage, the learned counsel for the Petitioner submits that the Petitioner is willing to pre-deposit 25% of the disputed tax as a condition for denovo adjudication.
6. The learned counsel for the Petitioner has also made an endorsement to that effect in the Court bundle, which is extracted hereunder:- " Petitioner is willing to deposit 25% of disputed tax amount for fresh adjudication"
7. In view of the above, 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 or 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.
8. Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 24.08.2025 together with requisite documents to substantiate the case by treating the impugned Order dated 16.10.2025 as an addendum to the Show Cause Notice dated 24.08.2025.
9. In case the Petitioner complies with the above stipulations, the Respondent shall proceed to pass a final order on merits and in accordance 3/6
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 if any, shall also stand automatically vacated.
10. It is made clear that bank attachment shall be lifted subject to the Petitioner depositing 25% 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.
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 in limine today.
12. Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.
4/6
13. This Writ Petition stands disposed of with the above observations. No costs. Connected Writ Miscellaneous Petitions are closed. 24.03.2026 Vv To:
Deputy State Tax Officer-2 Sriperumpudur Assessment Circle, Commercial Taxes Building, Bangalore-Chennai Highway, Nazarathpet, Poonamalle-600 123.
5/6
C.SARAVANAN, J.
Vv 24.03.2026 6/6