The High Court, via a common order, allowed three writ petitions concerning Form GST DRC-07 orders. The court set aside the challans permitting the petitioner to submit additional representations with proof of tax payment within four weeks, directing authorities to reassess; if no response is filed, the original orders stand restored.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
W.P.No's.25217, 25225 & 25232 of 2024
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dated: 11.11.2024
Coram:
THE HONOURABLE MR.JUSTICE MOHAMMED SHAFFIQ
W.P.No's.25217, 25225 & 25232 of 2024 and
WMP.No's.27540, 27541, 27552, 27554, 27558 & 27559 of 2024
Raja Arts Hitech Engineering, Represented by its Proprietor – E.R.Rajendran, GST:33ACHPR0720K1ZL/2019-20, 2020-21, 2021-22, No.40/18C, S P Pudur, Paramathi Road, Namakkal – 637001
...Petitioner in all W.P.No's
vs.
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Salem Integrated Commercial Taxes Building, 2nd Floor, Pitchards Road, Hasthampatty, Salem-636 007
...Respondents in all W.P.No's. Prayer in W.P.No.25217 of 2024: Writ petition is filed under Article 226 of the Constitution of India praying for issuance of a Writ of Certiorari, call for the records relating to the impugned order dated 11.03.2024 bearing GST:33ACHPR0720K1ZL/ 2019-20 in Form GST DRC-07 issued by the 3rd Respondent and quash the same as being arbitrary, pre meditated and mechanical Prayer in W.P.No.25225 of 2024: Writ petition is filed under Article 226 of the Constitution of India praying for issuance of a Writ of Certiorari, call for the records relating to the impugned order dated 11.03.2024 bearing GST:33ACHPR0720K1ZL/ 2020-21 in Form GST DRC-07 issued by the 3rd Respondent (pursuant to preshow cause notices dated 31.03.2023), in so far as it relates to the levy of tax, interest and penalty for the alleged defect “Turnover difference between GSTR 3B and TDS credit received” and quash the same.
Prayer in W.P.No.25232 of 2024: Writ petition is filed under Article 226 of the Constitution of India praying for issuance of a Writ of Certiorari, call for the records relating to the impugned order dated 11.03.2024 bearing TNGST:33ACHPR0720K1ZL/ 2021-22 in Form GST DRC-07 issued by the 3rd Respondent (pursuant to preshow cause notices dated 31.03.2023), in so far as it relates to the levy of tax, interest and penalty for the alleged defect “Turnover
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difference between GSTR 3B and TDS credit received” and quash the same.
For Petitioner : M/s.Tanushree Arvind in all W.P.No's For Respondents : Mr.TNC Kaushik in all W.P.No's Additional Government Pleader
COMMON ORDER
All the three writ petitions are disposed of by this common order in asmuchas it is submitted by the learned counsel for the petitioner as well as
respondents that the issues that arises are common in all three writ petitions.
2024 relates to assessment year 2021-22.
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the above work contract executed by the petitioners, entire taxes has been remitted. While filing reply, statement of the various invoices along with details of the taxes paid under the TNGST and CGST Act respectively was also submitted. It is also submitted by the learned counsel for the petitioner that as a matter of fact, the BDO deducted TDS under Section 51 of the TNGST Act. Whileso the impugned order levies tax under the GST Act on the very same supplies (works contract executed by the petitioner for BDO).
looking the reply and the supporting documents filed by the petitioner, which would clearly establish that the entire taxes has been remitted on the supplies namely work contract executed by the petitioner for the BDO, Panchayat office, Namakkal and Salem District during the relevant period 2019-20, 2020-21, 202122. It was then submitted that the impugned order of assessment results in levy of taxes on the very same supplies, which has already suffered tax which is clearly without authority of law thereby falling foul of Article 265 of the Constitution of India.
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submit the document to show that taxes has already been discharged in respect of contracts executed by the petitioners for BDO, Panchayat office of Namakkal and Salem District and if such documentary evidence is furnished, the same would be considered and orders would be passed in accordance with law after giving reasonable opportunity of hearing to the petitioner. Request was also made by the learned counsel for the respondents that the petitioner may be directed to furnish copies of work orders which was readily agreed by the learned counsel for the petitioner.
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In view of the above, these writ petitions are disposed of. No costs. Consequently, connected WMP's are closed.
11.11.2024
dsn Index:Yes/No Speaking order:Yes/No Neutral Citation:Yes/No
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To
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MOHAMMED SHAFFIQ,J.
dsn
W.P.No's.25217, 25225 & 25232 of 2024
11.11.2024
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1 issue framed by the court
Whether the impugned orders levying tax on supplies already subjected to TDS under the TN GST Act are sustainable.
Raja Arts Hitech Engineering
Commercial Tax Officer
State Tax Officer, Legal and Revision - II
State Tax Officer, Data Analytics Unit - 2
Joint Commissioner (Intelligence)
MOHAMMED SHAFFIQ
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
