Madras High Court
Jegatheeswaran vs The Assistant Commissioner (State ... on 18 September, 2024
Author: Mohammed Shaffiq
Bench: Mohammed Shaffiq
W.P(MD)No.22226 of 2024
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED : 18.09.2024
CORAM
THE HONOURABLE MR.JUSTICE MOHAMMED SHAFFIQ
W.P(MD)No.22226 of 2024
and
W.M.P(MD)Nos.18783 & 18785 of 2024
Jegatheeswaran ... Petitioner
Vs.
The Assistant Commissioner (State Taxes),
Rajapalayam 1 Assessment Circle,
Integrated Commercial Taxes Building,
Pudhupalayam, Tenkasi Road,
Rajapalayam-17. ... Respondent
Prayer : Writ Petition filed under Article 226 of the Constitution of India,
praying this Court to issue a Writ of Certiorarified Mandamus, directing the
respondent his Reference No.ZD330423141553R, dated 28.04.2023 and quash
the same and further direct the respondent to pass order afresh after affording
an opportunity to the petitioner to file their objections with supporting
documents and pass such other and furthe orders as this Court.
For Petitioner : Mr.M.Iniyavan
For Respondent : Mr.R.Suresh Kumar
Additional Government Pleader
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1/6
W.P(MD)No.22226 of 2024
ORDER
The present writ petition is filed challenging the impugned order issued
by the respondent in Reference No.ZD330423141553R, dated 28.04.2023 for
the assessment year 2019-2020.
2. It is submitted by the learned Counsel for the petitioner that the
petitioner is running a Mobile shop under the name and style of 'Aishwarya
Mobiles' and filed GSTR-3B returns for the assessment year 2019-2020 to the
respondent. Upon verification, the respondent found that the petitioner had
availed Input Tax Credit in excess of the credit reflected in the GSTR-2A
statement and hence, the respondent issued Form ASMT-10 on 03.06.2022,
followed by a notice of intimation in Form DRC-01A, dated 11.08.2022 and
Form DRC-01 issued on 09.02.2023. The petitioner was issued with a notice
for personal hearing, dated 21.03.2023 and he appeared before the respondent
and explained his case. However, the respondent had not accepted the
explanation of the petitioner. It is submitted that the respondent, without
affording proper hearing to the petitioner, arbitrarily reversed the ITC and
imposed penalty on the petitioner vide impugned order, dated 28.04.2023.
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Hence, the present writ petition is filed challenging the order, dated
28.04.2023.
3. The assessment order is passed inter alia rejecting the claim of ITC on
the following grounds, viz.,
a) Mismatch between GSTR-3B and GSTR-2A;
b) ITC not reversed on the basis of debit reflected in GSTR-2A and
c) E-Way bill not generated for the movement of goods.
It is submitted by the learned counsel for the petitioner that if the petitioner is
provided with an opportunity, he would be able to explain the above
discrepancies.
4. The learned counsel for the petitioner would place reliance upon the
recent judgment of this Court in the case of M/s.K.Balakrishnan, Balu Cables
vs. O/o. the Assistant Commissioner of GST & Central Excise in W.P.
(MD)No.11924 of 2024 dated 10.06.2024.
5. It was further submitted that the petitioner is ready and willing to pay
25% of the disputed tax and that he may be granted one final opportunity
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before the adjudicating authority to put forth their objections to the proposal. It
was also submitted that a sum of Rs.1,00,000/- had already been paid and the
same may be adjusted while reckoning 25% of the disputed tax, to which the
learned Additional Government Pleader appearing for the respondent does not
have any serious objection.
6. At this juncture, it is submitted by the learned Counsel for the
petitioner that pursuant to the impugned order, the bank account of the
petitioner was attached and the same may be lifted, upon payment of 25% of
the disputed tax after adjusting a sum of Rs.1,00,000/- which had already been
paid.
7. In view thereof, the impugned order is set aside and the petitioner shall
deposit 25% of the disputed tax after adjusting the amount of Rs.1,00,000/-
which is already paid, within a period of four (4) weeks from the date of receipt
of a copy of this order. On complying with the above condition, the bank
attachment shall be lifted. The impugned order of assessment shall be treated as
show cause notice and the petitioner shall submit its objections within a period
of four (4) weeks from the date of receipt of a copy of this order along with
supporting documents/material. If any such objection is filed, the same shall be
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considered by the respondent and orders shall be passed in accordance with law
after affording a reasonable opportunity of hearing to the petitioner. If the
above deposit is not paid or the objections not filed within the stipulated period,
i.e., four weeks from the date of receipt of a copy of this order and four weeks
thereafter respectively, the impugned order of assessment shall stand revived.
8. With the above direction, this Writ Petition is disposed of. No costs.
Consequently, connected miscellaneous petitions are closed.
18.09.2024
NCC : Yes / No
Index : Yes / No
Internet : Yes
BTR
To
The Assistant Commissioner (State Taxes),
Rajapalayam 1 Assessment Circle,
Integrated Commercial Taxes Building,
Pudhupalayam, Tenkasi Road,
Rajapalayam-17.
https://www.mhc.tn.gov.in/judis
MOHAMMED SHAFFIQ, J.
BTR
18.09.2024
https://www.mhc.tn.gov.in/judis
