GST assessment order challenged for denial of reasonable opportunity; court set aside the order and remanded, directing petitioner to remit 10% of disputed tax demand and file a reply, after which a fresh order with personal hearing is to be issued.
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W.P.No.10144 of 2024
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 18.04.2024
CORAM
THE HONOURABLE MR.JUSTICE SENTHILKUMAR RAMAMOORTHY
W.P.No.10144 of 2024 and W.M.P.Nos.11192 & 11193 of 2024
Tvl. Vishal Agencies, Represented by its Proprietor, Mr.Deepak Kumar (M/A 40), No.112/2, Ellaya Street, Tondiarpet, Chennai 600 008. ... Petitioner
-vs-
The Assistant Commissioner (ST), Tondiarpet (C) Assessment Circle, Integrated Building for Commercial Taxes Department, Chennai 600 003. ... Respondent
PRAYER : Writ Petition filed under Article 226 of the Constitution of India, pleased to issue a Writ of Certiorari, calling for the records on the file of the respondent and to quash the impugned order dated 19.10.2023 bearing GSTIN: 33AFCPD5078E1ZV/2017-18 passed by the respondent as arbitrary.
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For Petitioner : Mr.J.Ashish
For Respondent : Mrs.K.Vasanthamala, GA (T)
ORDER
An assessment order dated 19.10.2023 is assailed on the ground that the petitioner did not have a reasonable opportunity to contest the tax demand on merits. Upon scrutiny of the petitioner's return, a notice in Form GST ASMT 10 was issued to the petitioner on 24.05.2023. This was followed by the show cause notice dated 18.08.2023 and reminder dated 17.10.2023. Eventually, the impugned order was issued on 19.10.2023.
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petitioner reconciled the same in its GSTR 9C return. In this connection, he refers to the GSTR 9C return at page 35 of the typed set and points out that the unreconciled amount was paid in the month of April 2018. He also refers to the GSTR 1 statement for April 2018-19 in this connection. Since the amount representing the discrepancy was made good, learned counsel submits that the petitioner be provided an opportunity to contest the tax demand.
accepts notice on behalf of the respondent. By inviting my attention to the impugned order, she points out that the show cause notice was issued in August 2023 and that the petitioner had sufficient time to respond thereto before the impugned order was issued. She also points out that personal hearings were offered on at least two occasions.
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petitioner's GSTR 1 statement and GSTR 3B returns. The petitioner has placed on record the GSTR 1 statement for the month of April in assessment period 2018-19 and the GSTR 9C reconciled statement. Prima facie it appears that the petitioner has paid the unreconciled amount in April 2018. However, no definitive conclusions can be drawn in these proceedings and the matter would have to be examined by the respondent. Nonetheless, in these circumstances, it is just and appropriate that the petitioner be provided an opportunity, albeit by putting the petitioner on terms.
19.10.2023 is set aside and the matter is remanded for reconsideration subject to the condition that the petitioner remits 10% of the disputed tax demand within two weeks from the date of receipt of a copy of this order. The petitioner is also permitted to
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submit a reply to the show cause notice within the aforesaid period by enclosing all relevant documents. Upon receipt thereof and upon being satisfied that 10% of the disputed tax demand was received, the respondent is directed to provide a reasonable opportunity to the petitioner, including a personal hearing, and thereafter issue a fresh assessment order within a period of two months from the date of receipt of the petitioner's reply.
18.04.2024
rna Index : Yes / No Internet : Yes / No Neutral Citation: Yes / No
SENTHILKUMAR RAMAMOORTHY,J
rna
To
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The Assistant Commissioner (ST), Tondiarpet (C) Assessment Circle, Integrated Building for Commercial Taxes Department, Chennai 600 003.
W.P.No.10144 of 2024 and W.M.P.Nos.11192 & 11193 of 2024
18.04.2024
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1 issue framed by the court
Whether the assessment order was passed without providing the petitioner a reasonable opportunity to contest the tax demand based on GSTR 1/GSTR 3B discrepancy.
1 provisions across 1 enactments
Tvl. Vishal Agencies, represented by its Proprietor, Mr. Deepak Kumar
The Assistant Commissioner (ST), Tondiarpet (C) Assessment Circle
Senthilkumar Ramamoorthy
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
