Tvl Royal Agencies v. The Deputy State Tax Officer I

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 26.08.2025

CORAM

THE HON'BLE MR.JUSTICE C. SARAVANAN and W.M.P.(MD) No.18339 of 2025 Tvl.Royal Agencies Rep. by its Partner Ibrahim Mohamed Saleem, No.322B, W-17, L.F.Road, Cumbum, Theni, Tamil Nadu - 625 516.

... Petitioner Vs.

The Deputy State Tax Officer - I, Uthamapalayam Assessment Circle, Uthamapalayam.

... Respondent Prayer : Writ Petition filed under Article 226 of the Constitution of India, for issuance of a Writ of Certiorarified Mandamus, calling for the impugned assessment order on the file of the respondent vide GSTIN: 33AAQFR0538Q1ZM/2019-20 dated 07.08.2024 and quashing the same as illegal and devoid of merits and directing the respondent to redo the assessment proceedings for the year 2019-20.

For Petitioner : Mr.Raja.Karthikeyan For Respondent : Mr.J.K.Jayaselan Government Advocate Page No. 1 of 5

O R D E R

In this Writ Petition, the petitioner has challenged the impugned assessment order dated 07.08.2024 passed by the respondent in Form GST DRC-07, bearing reference GSTIN: 33AAQFR0538Q1ZM/2019-20, for the assessment year 2019-2020.

2. The impugned assessment order has preceded an Intimation in Form GST DRC-01A dated 24.11.2023 and a Show Cause Notice in Form GST DRC-01 dated 26.04.2024 and several reminders. Since the petitioner failed to file a reply within the time stipulated, the impugned assessment order dated 07.08.2024 was passed by the respondent. The petitioner has also failed to file an appeal against the impugned assessment order under Section 107 of the respective GST enactments or to file any application for rectification of errors in the impugned assessment order under Section 161 of the respective GST enactments.

3. Under these circumstances, this Court has been taking a consistent view, balancing the interests of the assessee and the revenue by putting the assessee to terms. I find no reason to take a different view in Page No. 2 of 5

this case. Therefore, there shall be a direction to the petitioner to pay 25% of the disputed tax through the electronic cash ledger within a period of thirty days from the date of receipt of a copy of this order. Subject to the above conditions, the impugned assessment order stands quashed and the case is remitted back to the respondent to pass a fresh order within a period of three months from the date of receipt of a copy of this order.

4. The petitioner shall file a detailed reply to the show cause notices, which preceded the impugned assessment order, by treating the impugned assessment order, which stands quashed in this order, as an addendum to the said show cause notices, along with the aforesaid deposit, within a period of thirty days from the date of receipt of a copy of this order.

5. If the petitioner complies with the conditions stipulated above, the respondent shall pass fresh orders as directed. In case the petitioner fails either to reply to the show cause notice or to pay 25% of the disputed tax as directed above, the respondent is at liberty to proceed against the petitioner as if this Writ Petition was dismissed in limine. Page No. 3 of 5

6. Needless to state, before passing any order, the petitioner shall be heard.

7. In the result, this Writ Petition stands disposed of. No costs. Consequently, the connected Miscellaneous Petition is closed. 26.08.2025 Index : Yes / No Speaking Order / Non-Speaking Order smn2 To The Deputy State Tax Officer - I, Uthamapalayam Assessment Circle, Uthamapalayam.

Page No. 4 of 5

C.SARAVANAN , J.

smn2 26.08.2025 Page No. 5 of 5