Jayadevan Kunjukrishnan vs State Of Kerala
2025 Latest Caselaw 4148 Ker

Kerala High Court

Jayadevan Kunjukrishnan vs State Of Kerala on 17 February, 2025

Author: A.K.Jayasankaran Nambiar

Bench: A.K.Jayasankaran Nambiar

ST.Revision No.2 of 2023 and
connected cases                             1          2025:KER:13331

                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                     PRESENT

          THE HONOURABLE DR. JUSTICE A.K.JAYASANKARAN NAMBIAR

                                        &

                 THE HONOURABLE MR. JUSTICE EASWARAN S.

      MONDAY, THE 17TH DAY OF FEBRUARY 2025 / 28TH MAGHA, 1946

                               ST.REV. NO. 2 OF 2023

AGAINST THE ORDER DATED 28.10.2022 IN T.A.NO.62 OF 2018 PASSED BY

 THE KERALA VALUE ADDED TAX APPELLATE TRIBUNAL, ADDITIONAL BENCH,

                                THIRUVANANTHAPURAM


REVISION PETITIONER/APPELLANT/ASSESSEE :

      1      JAYADEVAN KUNJUKRISHNAN
             PROPRIETOR, M/S.HOTEL GREEN PALACE,
             SREEKARYAM, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695017

             LEGAL HEIRS IMPLEADED

  ADDL.P2    SMT. JAMINA JAYADEVAN, AGED 64 YEARS
             W/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN 695581

  ADDL.P3    SHRI.JOSHI JAYADEVAN, AGED 46 YEARS,
             S/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT PIN-695581

  ADDL.P4    DIVYA AJESH, AGED 44 YEARS
             D/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT
             PIN-695581
             LEGAL HEIRS IMPLEDED VIDE ORDER DATED 18.12.2023 IN IA
             NO.2/23 IN ST.REV. NO.2/2023.
 ST.Revision No.2 of 2023 and
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             BY ADVS.
             RAHUL A.
             S.ANIL KUMAR (TRIVANDRUM)
             SABU C.J
             M.RAJAGOPAL
             APARNA ANIL




RESPONDENT/RESPONDENT/REVENUE :

             STATE OF KERALA
             REPRESENTED BY THE COMMISSIONER OF STATE TAXES,
             TAX TOWERS, KARAMANA, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695002



             SMT. RESMITHA RAMACHANDRAN- GP


       THIS SALES TAX REVISION HAVING COME UP FOR ADMISSION ON
17.02.2025,    ALONG    WITH   ST.Rev.NOS.3/2023,   4/2023   AND   CONNECTED
CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 ST.Revision No.2 of 2023 and
connected cases                             3          2025:KER:13331


                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                     PRESENT

          THE HONOURABLE DR. JUSTICE A.K.JAYASANKARAN NAMBIAR

                                        &

                 THE HONOURABLE MR. JUSTICE EASWARAN S.

      MONDAY, THE 17TH DAY OF FEBRUARY 2025 / 28TH MAGHA, 1946

                               ST.REV. NO. 3 OF 2023

AGAINST THE ORDER DATED 28.10.2022 IN T.A.NO.65 OF 2018 PASSED BY

 THE KERALA VALUE ADDED TAX APPELLATE TRIBUNAL, ADDITIONAL BENCH,

                                THIRUVANANTHAPURAM


REVISION PETITIONER/APPELLANT/ASSESSEE :

      1      JAYADEVAN KUNJUKRISHNAN
             PROPRIETOR, M/S.HOTEL GREEN PALACE,
             SREEKARYAM, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695017

             LEGAL HEIRS IMPLEADED

ADDL.P2      SMT.JAMINA JAYADEVAN, AGED 64 YEARS
             W/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

ADDL.P3      SHRI.JOSHI JAYADEVAN, AGED 46 YEARS
             S/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT PIN-695581

ADDL.P4      SMT. DIVYA AJESH, AGED 44 YEARS,
             D/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

             LEGAL HEIRS IMPLEDED VIDE ORDER DATED 18.12.2023 IN IA
             NO.2/23 IN ST.REV. NO.3/2023.
 ST.Revision No.2 of 2023 and
connected cases                     4            2025:KER:13331


             BY ADVS.
             RAHUL A.
             S.ANIL KUMAR (TRIVANDRUM)
             SABU C.J
             M.RAJAGOPAL
             APARNA ANIL


RESPONDENT/ RESPONDENT /REVENUE:

             STATE OF KERALA
             REPRESENTED BY THE COMMISSIONER OF STATE TAXES,
             TAX TOWERS, KARAMANA, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695002


             BY SMT. RESMITHA RAMACHANDRAN- GP


       THIS SALES TAX REVISION HAVING COME UP FOR ADMISSION ON
17.02.2025, ALONG WITH ST.Rev.NO.2/2023 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 ST.Revision No.2 of 2023 and
connected cases                             5          2025:KER:13331


                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                     PRESENT

          THE HONOURABLE DR. JUSTICE A.K.JAYASANKARAN NAMBIAR

                                        &

                 THE HONOURABLE MR. JUSTICE EASWARAN S.

      MONDAY, THE 17TH DAY OF FEBRUARY 2025 / 28TH MAGHA, 1946

                               ST.REV. NO. 4 OF 2023

AGAINST THE ORDER DATED 28.10.2022 IN T.A.NO.64 OF 2018 PASSED BY

 THE KERALA VALUE ADDED TAX APPELLATE TRIBUNAL, ADDITIONAL BENCH,

                                THIRUVANANTHAPURAM


REVISION PETITIONER/APPELLANT/ASSESSEE :

      1      JAYADEVAN KUNJUKRISHNAN
             PROPRIETOR, M/S.HOTEL GREEN PALACE, SREEKARYAM,
             THIRUVANANTHAPURAM DISTRICT., PIN - 695017

             LEGAL HEIRS IMPLEADED

  ADDL.P2    SMT.JAMINA JAYADEVAN, AGED 64 YEARS,
             W/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

  ADDL.P3    SHRI. JOSHI JAYADEVAN, AGED 46 YEARS
             S/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

  ADDL.P4    SMT.DIVYA AJESH, AGED 44 YEARS
             D/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

             LEGAL HEIRS IMPLEDED VIDE ORDER DATED 18.12.2023 IN
             IA NO.2/23 IN ST.REV. NO.4/2023.
 ST.Revision No.2 of 2023 and
connected cases                     6            2025:KER:13331


             BY ADVS.
             RAHUL A.
             S.ANIL KUMAR (TRIVANDRUM)
             SABU C.J
             M.RAJAGOPAL
             APARNA ANIL




RESPONDENT/RESPONDENT/REVENUE :

             STATE OF KERALA
             REPRESENTED BY THE COMMISSIONER OF STATE TAXES,
             TAX TOWERS, KARAMANA, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695002

             BY SMT. RESMITHA RAMACHANDRAN- GP
       THIS SALES TAX REVISION HAVING COME UP FOR ADMISSION ON
17.02.2025, ALONG WITH ST.Rev.NO.2/2023 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 ST.Revision No.2 of 2023 and
connected cases                             7          2025:KER:13331


                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                     PRESENT

          THE HONOURABLE DR. JUSTICE A.K.JAYASANKARAN NAMBIAR

                                        &

                 THE HONOURABLE MR. JUSTICE EASWARAN S.

      MONDAY, THE 17TH DAY OF FEBRUARY 2025 / 28TH MAGHA, 1946

                               ST.REV. NO. 5 OF 2023

AGAINST THE ORDER DATED 28.10.2022 IN T.A.NO.63 OF 2018 PASSED BY

 THE KERALA VALUE ADDED TAX APPELLATE TRIBUNAL, ADDITIONAL BENCH,

                                THIRUVANANTHAPURAM


REVISION PETITIONER/APPELLANT/ASSESSEE:

      1      JAYADEVAN KUNJUKRISHNAN
             PROPRIETOR, M/S.HOTEL GREEN PALACE, SREEKARYAM,
             THIRUVANANTHAPURAM DISTRICT., PIN - 695017

             LEGAL HEIRS IMPLEADED

  ADDL.P2    SMT.JAMINA JAYADEVAN, AGED 64 YEARS
             W/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

  ADDL.P3    SHRI.JOSHI JAYADEVAN , AGED 46 YEARS,
             S/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581.

  ADDL.P4    SMT.DIVYA AJESH, AGED 44 YEARS,
             D/O. LATE JAYADEVAN KUNJUKRISHNAN
             VINAYAKA AKG NAGAR, PANGAPPARA,
             THIRUVANANTHAPURAM DISTRICT, PIN-695581

             LEGAL HEIRS IMPLEDED VIDE ORDER DATED 18.12.2023 IN
             IA NO.2/23 IN ST.REV. NO.5/2023.
 ST.Revision No.2 of 2023 and
connected cases                     8            2025:KER:13331

             BY ADVS.
             RAHUL A.
             S.ANIL KUMAR (TRIVANDRUM)
             SABU C.J
             M.RAJAGOPAL
             APARNA ANIL




RESPONDENT/ RESPONDENT /REVENUE :

             STATE OF KERALA
             REPRESENTED BY THE COMMISSIONER OF STATE TAXES,
             TAX TOWERS, KARAMANA, THIRUVANANTHAPURAM DISTRICT.,
             PIN - 695002

             BY SMT. RESMITHA RAMACHANDRAN- GP


       THIS SALES TAX REVISION HAVING COME UP FOR ADMISSION ON
17.02.2025, ALONG WITH ST.Rev.NO..2/2023 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 ST.Revision No.2 of 2023 and
connected cases                        9            2025:KER:13331


                               JUDGMENT

[ST.Rev. Nos.2/2023, 3/2023, 4/2023, 5/2023]

Dr. A.K.Jayasankaran Nambiar, J.

In all these S.T.Revisions filed by the assessee, what is impugned

is the common order of the Kerala Value Added Tax Appellate Tribunal,

Thiruvannathapuram, dismissing the appeals preferred by the petitioner

for the assessment years 2009-2010, 2010-2011, 2011-2012 and 2012-

2013 under the Kerala General Sales Tax Act (for short, the KGST Act).

2. The brief facts necessary for the disposal of these S.T.Revisions

are as follows:

The petitioner is a proprietor of a bar hotel and registered as a

dealer under the KGST Act. During the assessment years 2009-2010 to

2012-2013, the petitioner, without formally opting for payment of tax on

compounded basis in terms of Section 7(1)(a) of the KGST Act,

nevertheless paid tax on compounded basis along with the monthly

returns that were filed for the said years. The said fact is borne out from

the copies of the returns that have been made available before us for

perusal by the learned Government Pleader through the affidavits filed

in these revision petitions. A perusal of those returns clearly shows that

the computation and payment of tax was on compounded basis. Details

of the Cheque/Demand Draft by which the tax was paid are also shown ST.Revision No.2 of 2023 and connected cases 10 2025:KER:13331

in the returns.

3. The Appellate Tribunal, by the order impugned in these

revisions, found that since the petitioner had remitted tax on the basis

of the compounding provisions, he could not thereafter turn around and

contend that since he had not formally filed an application for payment

of tax on the compounded basis, the department had not accepted the

tax on compounded basis, and therefore the latter was obliged to assess

him under the normal provisions of the KGST Act.

4. During the course of the hearing, we have been shown a copy

of the judgment of a Division Bench of this Court in State of Kerala v.

Kalyanaraman [2009 (3) KLT SN 31] (C. No.34) wherein, in almost

similar circumstances the Division Bench of this Court found that once

an assessee has acted in accordance with the compounded provisions

and remitted tax for the whole year along with monthly returns strictly

in terms of the compounding provisions, he cannot back track later on

and request the assessing officer to complete the assessment based on

the turn over returned by him. In particular, it was found by the Division

Bench that the offer to pay tax at compounded rate gives an immunity to

an assessee from inspection and other interference by the department

in the course of his business. A regular assessee who is not covered by

the scheme of payment of tax on compounded basis can be subject to

inspection at any time during the year. However, in cases where tax is

accepted pursuant to an application filed for compounding, the ST.Revision No.2 of 2023 and connected cases 11 2025:KER:13331

department has no right to inspect or harass the assessee. The Court

therefore found that after availing immunity in these forms, the assessee

could not, after the closure of the year, resile from the offer he made for

payment of tax at compounded rate.

5. We find that the aforesaid judgment squarely applies to the facts

in the instant case and hence, the impugned order of the Appellate

Tribunal does not warrant any interference in these proceedings.

Accordingly, we dismiss these S.T.Revisions by answering the questions

of law raised therein against the petitioner/assessee and in favour of the

respondent/State.

Sd/-

DR. A.K.JAYASANKARAN NAMBIAR JUDGE

Sd/-

                                               EASWARAN S.
                                                   JUDGE
NS
 ST.Revision No.2 of 2023 and
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                       APPENDIX OF ST.REV.NO. 3/2023

PETITIONER ANNEXURES

Annexure A                A COPY OF THE ASSESSMENT ORDER DATED

14-03-2016 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM FOR THE YEAR 2012-2013

Annexure B A COPY OF THE ORDER DATED 31-10-2018 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM RECTIFYING THE MISTAKE IN ANNEXURE-A ORDER

Annexure C A COPY OF THE ORDER DATED 02-09-2017 ISSUED BY THE DEPUTY COMMISSIONER (APPEALS), THIRUVANANTHAPURAM

Annexure D A COPY OF THE ORDER DATED 28-10-2022 ISSUED BY THE KERALA VALUE ADDED TAX/AGRL. INCOME TAX & SALES TAX APPELLATE TRIBUNAL, ADDL. BENCH, THIRUVANANTHAPURAM

RESPONDENT EXHIBITS

Exhibit R1(a) TRUE COPY OF THE ANNUAL RETURN UNDER FORM 10DA OF THE KERALA VALUE ADDED TAX RULES,2005 UNDER RULE 22(1) THEREOF,FOR THE RETURN PERIOD 1ST APRIL 2012-31ST MARCH 2013 FILED BY THE PETITIONER.

 ST.Revision No.2 of 2023 and
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PETITIONER ANNEXURES

Annexure A                A COPY OF THE ASSESSMENT ORDER DATED 14-03-

2016 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM FOR THE YEAR 2011-2012

Annexure B A COPY OF THE ORDER DATED 31-10-2018 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM RECTIFYING THE MISTAKE IN ANNEXURE-A ORDER

Annexure C A COPY OF THE ORDER DATED 02-09-2017 ISSUED BY THE DEPUTY COMMISSIONER (APPEALS), THIRUVANANTHAPURAM

Annexure D A COPY OF THE ORDER DATED 28-10-2022 ISSUED BY THE KERALA VALUE ADDED TAX/AGRL. INCOME TAX & SALES TAX APPELLATE TRIBUNAL, ADDL. BENCH, THIRUVANANTHAPURAM.

RESPONDENT ANNEXURES

Annexure R1(a) TRUE COPY OF THE ANNUAL RETURN UNDER FORM 10DA OF THE KERALA VALUE ADDED TAX RULES,2005 UNDER RULE 22(1) THEREOF, FOR THE RETURN PERIOD 1ST APRIL 2011-31ST MARCH 2012 FILED BY THE PETITIONER ST.Revision No.2 of 2023 and connected cases 14 2025:KER:13331

PETITIONER ANNEXURES

Annexure A A COPY OF THE ASSESSMENT ORDER DATED 14-03- 2016 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM FOR THE YEAR 2010-2011

Annexure B A COPY OF THE ORDER DATED 31-10-2018 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM RECTIFYING THE MISTAKE IN ANNEXURE-A ORDER

Annexure C A COPY OF THE ORDER DATED 02-09-2017 ISSUED BY THE DEPUTY COMMISSIONER (APPEALS), THIRUVANANTHAPURAM

Annexure D A COPY OF THE ORDER DATED 28-10-2022 ISSUED BY THE KERALA VALUE ADDED TAX/AGRL. INCOME TAX & SALES TAX APPELLATE TRIBUNAL, ADDL. BENCH, THIRUVANANTHAPURAM

RESPONDENT ANNEXURES

Annexure R1(a) ANNUAL RETURN UNDER FORM 10 DA OF KERALA VALUE ADDED TAX RULES,2005 UNDER RULE 22 (1) THEREOF,FOR THE RETURN PERIOD 1ST APRIL 2010 TO 31 MARCH 2011 FILED BY THE PETITIONER ST.Revision No.2 of 2023 and connected cases 15 2025:KER:13331

PETITIONER ANNEXURES

Annexure A A COPY OF THE ASSESSMENT ORDER DATED 14-03- 2016 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM FOR THE YEAR 2009-2010.

Annexure B A COPY OF THE ORDER DATED 31-10-2018 ISSUED BY THE ASST. COMMISSIONER, COMMERCIAL TAXES, SPECIAL CIRCLE, THIRUVANANTHAPURAM RECTIFYING THE MISTAKE IN ANNEXURE-A ORDER.

Annexure C A COPY OF THE ORDER DATED 02-09-2017 ISSUED BY THE DEPUTY COMMISSIONER (APPEALS), THIRUVANANTHAPURAM.

Annexure D A COPY OF THE ORDER DATED 28-10-2022 ISSUED BY THE KERALA VALUE ADDED TAX/AGRL. INCOME TAX & SALES TAX APPELLATE TRIBUNAL, ADDL. BENCH, THIRUVANANTHAPURAM.

RESPONDENT ANNEXURES

Annexure R1(a) True copy of the monthly return for April 2009 filed in Form No.9 under Rules 10, 11, 18 and 30 of Kerala Sales Tax Rules, 1963

Annexure R1(b) True copy of the statement of calculation of TOT (compounded) under Section 7 for the month of April 2009

Annexure R1(c) True copy of the statement of IMFL purchases for the month of April 2009

Annexure R1(d) True copy of the returns for the month of

and 30 filed by the Petitioner

Annexure R1(e) True copy of the statement of calculation of TOT (compounded) under Section 7 filed by the assessee for the month of May 2009

Annexure R1(f) True copy of the statement of IMFL purchases for the month of May 2009 ST.Revision No.2 of 2023 and connected cases 16 2025:KER:13331

Annexure R1(g) True copy of the returns for the month of June 2009 in Form No.9 under Rules 10, 11, 18 and 30 filed by the Petitioner

Annexure R1(h) True copy of the statement of calculation of TOT (compounded) Under Section 7 filed by the assessee for the month of June 2009

Annexure R1(i) True copy of the statement of IMFL purchases for the month of June 2009 filed by the Petitioner

Annexure R1(j) Returns for the month of July 2009 also in

filed by the Petitioner

Annexure R1(k) True copy of the statement of calculation of TOT (compounded) under Section 7 filed by the assessee for the month of July 2009

Annexure R1(l) True copy of the statement of IMFL purchases for the month of July 2009 by the Petitioner

Annexure R1(m) Returns for the month of August 2009 also in Form No.9 under Rules 10, 11, 18 and 30 by the Petitioner

Annexure R1(n) True copy of the statement of calculation of TOT (compounded) under Section 7 filed by the assessee for the month of August 2009

Annexure R1(o) Returns for the month of September 2009 also

filed by the Petitioner

Annexure R1(p) True copy of the statement of calculation of TOT (compounded) under Section 7 filed by the assessee for the month of September 2009

Annexure R1(q) True copy of the statement of calculation of TOT (compounded) under Section 7 filed by the assessee for the month of October 2009

Annexure R1(r) True copy of the statement of IMFL purchases for the month of October 2009 ST.Revision No.2 of 2023 and connected cases 17 2025:KER:13331

Annexure R1(s) Annual return under Form No.10 of the Kerala Value Added Tax Rules, 2005 under Rule 22(1) thereof, for the return period 1st April 2009

- 31 st March 2010 on 31.05.2010 filed by the Petitioner