Madras High Court
Tvl.Vishal Automobiles vs Deputy Commercial Tax Officer-Ii on 27 January, 2025
Author: Mohammed Shaffiq
Bench: Mohammed Shaffiq
W.P.No.2055 of 2025
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED :27.01.2025
CORAM
THE HONOURABLE MR.JUSTICE MOHAMMED SHAFFIQ
W.P. No.2055 of 2025
and
W.M.P.Nos.2408 and 2410 of 2025
Tvl.Vishal Automobiles,
Represented by its Proprietor Surendhar Singh
GSTIN:33BQPPS0918D1ZU
12, Nachiyappa 2nd Street,
Erode, Tamil Nadu 638 001. ... Petitioner
Vs.
Deputy Commercial Tax Officer-II,
Park Road Assessment Circle,
Commercial Taxes Building, No.1,
Brough Road, Erode 638 001. ... Respondent
PRAYER: Writ Petition filed under Article 226 of the Constitution of India
praying to issue a Writ of Certiorari calling for the records relating to the
impugned order bearing 33BQPPS0918D1ZU/2018-19 dated 09.01.2024
along with the summary order Form GST DRC-07 bearing Reference
No.ZD330124057744J issued on 12.01.2024 passed by the respondent and
quash the same.
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1/8
W.P.No.2055 of 2025
For Petitioner : Mr.M.S.Sanjay Nikaash
For Respondent : Mr.C.Harsha Raj,
Additional Government Pleader.
ORDER
The present writ petition is filed challenging the impugned order passed
by the respondent dated 09.01.2024 relating to the assessment year 2018-19
and consequential summary order dated 12.01.2024.
2. The petitioner is engaged in the retail and wholesale business of
automobile spares and is registered under the Goods and Services Tax Act,
2017. During the relevant period viz., 2018-19, the petitioner filed its returns
and paid the appropriate taxes. However, on verification of the petitioner's
monthly return in Form GSTR-1, GSTR-3B and Form GSTR-2A, it was
noticed that there was an alleged mismatch between GSTR-1 and GSTR-3B.
2.1. Pursuant thereto, a notice in DRC-01A was issued on 12.10.2023,
followed by a Show Cause Notice on 25.11.2023 and reminders on
27.12.2023 and 03.01.2024. Personal hearing was offered on 21.12.2023.
However, the petitioner had neither filed its reply nor availed the opportunity
for a personal hearing. Hence, the impugned order came to be passed,
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confirming the proposal.
3. The impugned order is challenged on the premise that neither the
show cause notices nor the impugned order of assessment has been served on
the petitioner by tender or sending it by RPAD, instead it had been uploaded
in the GST Portal, thereby, the petitioner was unaware of the initiated
proceedings and was thus unable to participate in the adjudication
proceedings.
4. It is submitted by the learned counsel for the petitioner that if the
petitioner is provided with an opportunity, they would be able to explain the
alleged discrepancies.. The learned counsel for the petitioner would then
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, to
submit that this court has remanded the matter back in similar circumstances
subject to payment of 25% of the disputed taxes. It is submitted by the learned
counsel for the petitioner that the petitioner had filed an appeal dated
14.05.2024 before the Appellate Authority along with 10% pre-deposit,
which has been rejected on the ground of being barred by limitation and his
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only request is that the same may be adjusted towards 25% of the disputed
tax, to which, the learned Additional Government Pleader appearing for the
respondent does not have any serious objection.
5. By consent of both parties, the writ petition stands disposed of on the
following terms:
a) The impugned order dated 09.01.2024 and the consequential
summary order dated 12.01.2024 are set aside.
b) The petitioner shall deposit 25% of the disputed taxes as admitted by
the learned counsel for the petitioner and the respondent, within a period of
four weeks from the date of receipt of a copy of this order.
c) If any amount has been recovered or paid out of the disputed taxes,
including by way of pre-deposit in appeal, the same would be
reduced/adjusted, from/towards the 25% of disputed taxes directed to be
paid. The assessing authority shall then intimate the balance amount out of
25 % of disputed taxes to be paid, if any, within a period of one week from
the date of receipt of a copy of this order. The petitioner shall deposit such
remaining sum within a period of three weeks from such intimation.
d) The entire exercise of verification of payment, if any, intimation of
the balance sums, if any, to be paid for compliance with the direction of
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payment of 25% of the disputed taxes, after deducting the sums already paid
and payment by the petitioner of the balance amount, if any, on intimation in
compliance with the above direction shall be completed within a period of
four weeks from the date of receipt of copy of this order.
e) Failure to comply with the above condition viz., payment of 25% of
disputed taxes within the stipulated period i.e., four weeks from the date of
receipt of a copy of this order shall result in restoration of the impugned
order.
f) If there is any recovery by way of attachment of Bank account or
garnishee proceedings, the same shall be lifted /withdrawn on complying with
the above condition viz., payment of 25 % of the disputed taxes.
g) On complying with the above condition, 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 objections are filed, the same shall be considered by the respondent
and orders shall be passed in accordance with law after affording a reasonable
opportunity of hearing to the petitioner. It is made clear that if the above
conditions viz., 25% of disputed taxes is not complied or objections are not
filed within the stipulated period, four weeks respectively from the date of
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receipt of a copy of this order, the impugned order of assessment shall stand
restored.
6. There shall be no order as to costs. Consequently, connected
miscellaneous petitions are closed.
27.01.2025
Speaking (or) Non Speaking Order
Index : Yes/ No
Neutral Citation: Yes/No
shk
https://www.mhc.tn.gov.in/judis
To:
Deputy Commercial Tax Officer-II,
Park Road Assessment Circle,
Commercial Taxes Building, No.1,
Brough Road, Erode 638 001.
https://www.mhc.tn.gov.in/judis
MOHAMMED SHAFFIQ, J.
shk
and
W.M.P.Nos.2408 and 2410 of 2025
27.01.2025
https://www.mhc.tn.gov.in/judis
