Disposed

M/s.Tera Software Limited, v. The Assistant Commissioner (St)

Andhra Pradesh HC17 Jun 2021WP/939/2021

Case brief

AI extract

What is this about?

The High Court disposed of a writ petition challenging best judgment assessment and a garnishee notice. The Court granted liberty to the petitioner to file an appeal before the appellate authority within three weeks and directed that no coercive steps taken during this period.

What did the court decide?

Liberty granted to file appeal before appellate authority within three weeks; no coercive steps to be taken pending such appeal. Pending interlocutory applications closed.

M/s.Tera Software Limited, Vs The… — Civil Procedure and Limitation | Andhra Pradesh HC (2021)

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THE HON'BLE SRI JUSTICE U.DURGA PRASAD RAO

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AND

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HON'BLE MS. JUSTICE J. UMA DEVI

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WRIT PETITION No.939 of 2021

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ORDER : (Per UDPR,J)

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The petitioner challenges the impugned best judgment assessment proceedings dated 05.10.2020 for the months of April and May, 2020 passed by the 1^st respondent and his consequential Garnishee notice dated 10.11.2020 issued to 3^rd respondent, as illegal. One of the grounds for not filing returns and non-payment of the tax for the relevant period by the petitioner as projected by the petitioner is that the petitioner entered into contract with the A.P. State Fibernet Limited (APSFL) (an Undertaking of Government of Andhra Pradesh), Vijayawada for supply, erection, installation and commissioning of Optical Fiber Cable Operations and Maintenance of A.P. Fiber Grid Phase-I and II and in that contract the petitioner concern has to receive Rs.150 crores from APSFL. The same is outstanding since long and in that context the petitioner filed writ petition No.10218/2020 wherein interim direction was also given by this Court to the APSFL to consider the representation of the petitioner and pass appropriate orders. But still the petitioner has not received the contractual amount and therefore, the petitioner could not pay the tax due to the department and since the payment was not made, the returns submitted in the online portal were not received. However, in the meanwhile, the 1^st respondent issued notices and passed best judgment proceedings without considering representations of the petitioner. Pursuant to the same, impugned

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assessment proceedings, garnishee notices were also issued by the 1^st respondent.

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Hence, the writ petition.

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2. Heard Sri Shaik Jeelani Basha, learned counsel for the petitioner and learned Assistant Government Pleader for Commercial Taxes representing respondents.

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3. Admittedly, as against the impugned assessment proceedings, remedy of appeal is available. Considering the same and the circumstances projected by the petitioner for not filing the returns and non-payment of the tax, we are of the view that the petitioner has to be given liberty to approach concerned appellate authority.

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4. Accordingly, this writ petition is disposed of giving liberty to the petitioner to file an appeal before concerned appellate authority within three (3) weeks from the date of this order, in which case, the appellate authority shall admit the appeal and after hearing both the parties, pass an appropriate order on merits. Till such exercise is completed, no coercive steps shall be taken by the 1^st respondent pursuant to the impugned assessment proceedings. No costs. No costs.

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As a sequel, interlocutory applications pending, if any, shall stand closed.

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_________________________ U. DURGA PRASAD RAO, J

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______________ J. UMA DEVI, J

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17^th June, 2021 krk

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THE HON'BLE SRI JUSTICE U.DURGA PRASAD RAO AND

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