M/S Crystal Creations Vs the Assistant Commissioner of Commercial Taxes

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NC: 2025:KHC:48286 WP No. 34873 of 2025

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HC-KAR

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21^ST DAY OF NOVEMBER, 2025

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BEFORE

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THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 34873 OF 2025 (T-RES)

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BETWEEN:

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M/S CRYSTAL CREATIONS REPRESENTED BY ITS PROPRIETOR DEVATHA SRINIVASA SETTY O/AT NO.347, DEVATHA KIDZ SHOPEE BUILDING. 1^ST FLOOR, MG ROAD, 1^ST CROSS, OPP STATE BANK OF INDIA, KOLAR - 5 63 101.

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…PETITIONER

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(BY SRI. MANOJ.S.N, ADVOCATE)

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AND:

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THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES (ADJUDICATION) OFFICE OF

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THE ASSISTANT COMMISSIONER,

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LOCAL GST OFFICE 180, KOLAR,

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DEPARTMENT OF COMMERCIAL TAXES,

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GOVERNMENT OF KARNATAKA,

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KOLAR – 563 101.

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Digitally signed by MADHURI S Location: High Court of Karnataka

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THE JOINT COMMISSIONER OF COMMERCIAL TAXES (APPEALS) OFFICE OF

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THE JOINT COMMISSIONER (APPEALS),

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BENGALURU DIVISION, VANIJYA THERIGE KARYALAYA,

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QUEENS ROAD, BENGALURU – 560 001.

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THE COMMISSIONER OF COMMERCIAL TAXES (KARNATAKA) VANIJYA THERIGE KARYALAYA, GANDHINAGAR, BENGALURU – 560 009.

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…RESPONDENTS

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(BY SRI. HEMA KUMAR.K, AGA)

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THIS W.P IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE FINAL ORDER IN FORM GST DRC-07 BEARING REFERENCE NO. ACCT/LSOTO

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2 - NC: 2025:KHC:48286 WP No. 34873 of 2025

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HC-KAR

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180/ADJUDICATION/ORDER/2A VS. 3B/2023-24 DATED 27 12.2023, PASSED UNDER SECTION 73 (9) OF THE CGST/KGST ACT. 2017 FOR THE TAX PERIOD 2017 TO 2018, AS PER ANNEXURE-C. PASSED BY THE RESPONDENT NO.1.

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THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

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CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

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ORAL ORDER

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In this petition, petitioner seeks for the following reliefs:-

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“ (a) Issue a Writ of Certiorari and quash the final order inform GST DRC-07 bearing Reference No.ACCT/LSGTO-180/ADJUDICATION/ORDER/2A vs. 3B/2023-24 dated: 27.12.2023, passed under Section 73 (9) of the CGST/KGST Act, 2017 for the tax period 2017 to 2018, as per Annexure-C. passed by the Respondent No.1 and,

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(b) Issue a Writ of Certiorari and quash the final order inform GST DRC-07 bearing Reference No.ACCT/LSGTO-180/ADJUDICATION/ORDER/2A vs. 3B/2023-24 dated: 21.03.2024, passed under Section 73 (9) of the CGST/KGST Act, 2017 for the tax period 2017 to 2018, as per Annexure-C. passed by the Respondent No.1 and,

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(C) Pass such other and further order or direction as this Hon’ble court may deem fit in the facts and circumstances of the case in the interest of justice and equity.”

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NC: 2025:KHC:48286 WP No. 34873 of 2025

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HC-KAR

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Heard learned counsel for the petitioner and learned AGA for the respondents and perused the material on record.

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A perusal of material on record will indicate that the 1^st respondent issued intimation notices dated 10.08.2023 and 16.01.2024 for tax period 2017-18 and 2018-19 respectively to the petitioner, who did not submit any reply/response to the same. Subsequently, the 1^st respondent issued show cause notices dated 25.09.3023 and 24.01.2024 for the aforesaid tax periods respectively. Since the petitioner did not submit his reply to the said show-cause notices also, the 1^st respondent proceeded to pass the impugned orders dated 27.12.2023 and 21.03.2024 under Section 73 of the KGST Act, 2017. Aggrieved by which, petitioner is before this Court by way of the present petition.

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Learned counsel for the petitioner submits that the petitioner did not receive any intimation notices or show cause notices issued to him and hence, he did not submit any replies / documents and contest the proceedings. He therefore submits that if one more opportunity is granted by setting aside the impugned orders, the petitioner would submit reply to the show cause notices and contest the proceedings.

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4 - NC: 2025:KHC:48286 WP No. 34873 of 2025

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HC-KAR

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5. Per contra, learned AGA for the respondents submits

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that there is no merit in the petition and the same is liable to be dismissed.

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Under these circumstances, having regard to the specific assertion on the part of the petitioner that his inability and omission to submit replies and contest the proceedings was due to bonafide reasons, unavoidable circumstances and sufficient cause, I deem it just and appropriate to adopt a justice oriented approach and provide one more opportunity to the petitioner by setting aside the impugned orders dated 27.12.2023 and 21.03.2024 and remitting the matter back to the 1^st respondent for reconsideration afresh in accordance with law from the stage of the petitioner submitting reply to the impugned show cause notices dated 25.09.3023 and 24.01.2024 for the tax period 2017-18 and 2018-19 respectively.

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In the result, I pass the following:

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ORDER

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(i) Petition is hereby allowed.

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(ii) The impugned orders dated 27.12.2023 and 21.03.2024

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for the tax period 2017-18 and 2018-19 respectively passed by the

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5 - NC: 2025:KHC:48286 WP No. 34873 of 2025

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HC-KAR

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1^st respondent at Annexures – C and E respectively are hereby set aside.

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(iii) The matter is remitted back to the 1^st respondent for reconsideration afresh in accordance with law from the stage of petitioner submitting its reply to the show cause notices dated 25.09.3023 and 24.01.2024 at Annexures – B and D respectively.

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(iv) The petitioner is directed to appear before the first respondent on 15.12.2025 without awaiting further notice.

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(v) Liberty is reserved in favour of the petitioner to submit replies, documents etc., which shall be considered by the 1^st respondent who shall provide sufficient and reasonable opportunity to the petitioner and hear them and proceed further in accordance with law.

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(vi) In the event, the petitioner does not appear before the 1^st respondent on 15.12.2025 as stated supra, the present order shall stand automatically recalled without further orders.

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Sd/(S.R.KRISHNA KUMAR) JUDGE

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Srl.

M/S Crystal Creations v. the Assistant Commissioner of Commercial Taxes

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M/S Crystal Creations v. the Assistant Commissioner of Commercial Taxes

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