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Madras High CourtWP/27952/2024disposed of

Tvl G Enterprizes v. The Deputy State Tax Officer -Ii

2024-09-23Honourable Mr Justice Krishnan Ramasamy6 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

Dated : 23.09.2024 Coram The Hon'ble Mr.Justice Krishnan Ramasamy and W.M.P.Nos.30495 & 30496 of 2024 Tvl.G.Enterprises, Represented by its Proprietor Mr.G.Loganathan, No:5/246.2, Forest Road, Sathiyamangalam, Erode, Tamil Nadu 638 504.

...Petitioner

Vs.

The Deputy State Tax Officer-II, Office of the Deputy Commercial Tax Officer, Sathyamangalam Assessment Circle, No.1, GOPALD Lane, Rangasamuthram, Sathyamangalam, Erode, Tamil Nadu.

... Respondent Prayer: This Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Certiorari, calling for the records on the files of the impugned proceedings of the Respondent Order Passed for the Assessment year 2018-19 in GSTIN 33AEFPL6943L1Z7 /2018-2019 dated 15.12.2023 and the Consequential DRC-07 order bearing Ref No: ZD331223119607N dated 16.12.2023, and quash the 1/6

same.

For Petitioner : Ms.R.Hemalatha For Respondent : Mr.G.Nanmaran Special Government Pleader (Taxes)

ORDER

This Writ Petition has been filed by the petitioner challenging the impugned order dated 15.12.2023 and the consequential DRC-07 order dated 16.12.2023 passed by the respondent.

2. Mr.G.Nanmaran, learned Special Government Pleader (Taxes), takes notice on behalf of the respondent.

3. By consent of the parties, the main Writ Petition is taken up for disposal at the time of admission stage itself.

4. Alleging that there is a mismatch of tax liability filed by the petitioner for the assessment year 2018-2019, the respondent passed an impugned order dated 15.12.2023, demanding the payment of differential amount in respect of the impugned assessment period.

5. The learned counsel for the petitioner submitted that the show cause 2/6

notice was raised on the petitioner in the GST common portal under the head "Additional notices tab", stating that there is a mismatch of tax liability filed by the petitioner for the impugned assessment period. As the petitioner was unaware of the said notice uploaded in the GST portal, he failed to respond for the same, which led to the passing of the present impugned order. Further, she submitted that even an impugned order was uploaded in the GST portal and the physical version of such order was not served on the petitioner. It is also submitted that, if an opportunity is provided, the petitioner would be able to substantiate its case and also the petitioner agrees to make a payment of 10% of the disputed tax in respect of the impugned assessment period.

6. Mr.G.Nanmaran, learned Special Government Pleader (Taxes) appearing for the respondent submitted that subject to the payment of 10% of the disputed tax in respect of the impugned assessment period, this Court may remand the matter to the Authority concerned for passing appropriate orders.

7. Heard the learned counsel for the petitioner as well as the learned learned Special Government Pleader (Taxes) for the respondent and perused the materials available on record.

8. Considering the above submissions made by the learned counsel on 3/6

either side and upon perusal of the materials, it is evident that the impugned show cause notice was uploaded on the GST Portal Tab. According to the petitioner, the petitioner was not aware of the issuance of the show cause notice issued through the GST Portal and the original of the said show cause notice was not furnished to them. In such circumstances, this Court is of the view that the impugned order came to be passed without affording any opportunity of personal hearing to the petitioner to establish its case, thereby violating the principles of natural justice and that it is just and necessary to provide an opportunity to the petitioner to establish their case on merits and in accordance with law.

9. For the reasons stated above, this Court is inclined to set aside the impugned orders dated 15.12.2023 and 16.12.2023 passed by the respondent with the following directions:- (i) The orders impugned herein are set aside and the matter is remanded to the respondent for fresh consideration on condition that the petitioner shall pay a 10% of the disputed tax in respect of the impugned assessment year to the respondent within a period of four weeks from the date of receipt of a copy of this order; and the setting aside of the impugned 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 two weeks thereafter. 4/6

(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 for 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.

10. With the above directions, this Writ Petition is disposed of. There is no order as to costs. Consequently, the connected miscellaneous petitions are closed. 23.09.2024 Speaking/Non-speaking order Index : Yes / No jd To The Deputy State Tax Officer-II, Office of the Deputy Commercial Tax Officer, Sathyamangalam Assessment Circle, No.1, GOPALD Lane, Rangasamuthram, Sathyamangalam, Erode, Tamil Nadu.

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Krishnan Ramasamy,J., jd 23.09.2024 6/6