Tvl Chinnasami Builders Vs The State Tax Officer — Writ and Judicial Review | Madras HC (2025)

Tvl Chinnasami Builders Vs The State Tax Officer — Writ and Judicial Review | Madras HC (2025)

What the court decided

AI extract

Outcome

Writ petition disposed of on agreed terms: conditional quash of the section 74 TNGST Act 2017 assessment order subject to deposition of 25% of the disputed tax within thirty days, lifting/raising of ITC and bank account attachments, reply to the show cause notice within a further thirty days, personal hearing and fresh final order within two months; no costs; connected miscellaneous petition (W.M.P.(MD)No.24262 of 2025) closed.

Issue for consideration

Whether the ex parte assessment order dated 26.04.2024 passed under section 74 of the TNGST Act 2017 for GSTIN 33BAKPP0828G2ZR /2018-19 should be quashed as cryptic, non-speaking, illegal, arbitrary and wholly without jurisdiction, and a fresh assessment ordered after affording an opportunity of being heard.

Court's answer

Upon the petitioner depositing 25% of the disputed tax amount through the electronic cash ledger within thirty days, the attachment effected on the petitioner's ITC account shall be raised forthwith and the impugned order shall stand quashed; the petitioner shall thereafter reply to the show cause notice within a period of thirty days, and the respondent shall provide an opportunity of personal hearing and pass final order within a period of two months thereafter.

Ratio / Principle

If the petitioner fails to deposit the 25% disputed tax amount and offer his reply to the show cause notice within the stipulated period, the benefit of this order would stand automatically recalled and the order impugned in the writ petition can very well be enforced.

Key takeaways

On payment of the 25% disputed tax amount, the attachment made on the writ petitioner's bank account shall be lifted immediately.ratio¶24

Detailed headnote1 paragraphs

Madras High Court (Madurai Bench), Justice G.R. Swaminathan — Writ disposal (no costs; connected W.M.P.(MD)No.24262 of 2025 closed): Conditional quash of the ex parte assessment order dated 26.04.2024 passed under section 74 of the TNGST Act 2017 for GSTIN 33BAKPP0828G2ZR /2018-19. Petitioner to deposit 25% of the disputed tax through electronic cash ledger within thirty days; on such compliance the ITC account attachment is raised and the impugned order stands quashed, the bank account attachment is lifted, and the petitioner replies to the show cause notice within a further thirty days; respondent to provide personal hearing and pass final order within two months thereafter. Default in deposit/reply causes automatic recall of the benefit of this order and enforcement of the impugned order.

W.P.(MD)No.31049 of 2025

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

DATED: 31.10.2025

CORAM

THE HONOURABLE MR.JUSTICE G.R.SWAMINATHAN

W.P(MD)No.31049 of 2025 and W.M.P.(MD)No.24262 of 2025

Tvl.Chinnasami Builders, Represented by its Proprietor P.Radhakrishnan, GSTIN33BAKPP0828G2ZR, 1/95, Ambalakkara Street, Pugal, Sillathur, Thanjavur-614 902.

... Petitioner

Vs.

The State Tax Officer, Thanjavur-1 Assessment Circle, Commercial Taxes Buildings, Thanjavur. ... Respondent

Prayer: Writ Petition filed under Article 226 of Constitution of India, to issue a Writ of Certiorarified Mandamus, to call for the records on the file of the respondent in GSTIN 33BAKPP0828G2ZR /2018-19, dated 26.04.2024 passed by the Respondent under section 74 of TNGST Act 2017 and to quash the same as cryptic, non-speaking, illegal , arbitrary, wholly without jurisdiction and direct the respondent to pass assessment order afresh after affording opportunity of being heard.

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W.P.(MD)No.31049 of 2025

For Petitioner :Mr.N.Sudalai Muthu For Respondent :Mr.R.Sureshkumar Additional Government Pleader

ORDER

Heard both sides.

2.The petitioner had suffered the impugned order at the hands of the respondent. It is an ex parte order. The petitioner states that since notice was served only through on-line portal, the petitioner was not aware of the same.

3.The learned Additional Government Pleader submits that in similar matters, reliefs were granted by directing the assessee to deposit 25% of the disputed tax amount.

4.The petitioner states that they will deposit 25% of the disputed tax amount through electronic cash ledger within a period of thirty days from the date of receipt of a copy of this order. Upon such compliance, the attachment effected on the petitioner's ITC account shall be raised forthwith. The impugned order shall stand quashed. The petitioner shall thereafter reply to the

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W.P.(MD)No.31049 of 2025

show cause notice within a period of thirty days thereafter. The respondent shall provide an opportunity of personal hearing to the petitioner and pass final order within a period of two months thereafter. If the petitioner fails to deposit and offer his reply to the show cause notice within the aforesaid period, the benefit of this order would stand automatically recalled and the order impugned in the writ petition can very well be enforced. On payment of the 25% disputed tax amount, the attachment made on the writ petitioner's bank account shall be lifted immediately thereafter.

5.This writ petition is disposed of accordingly. No costs. Consequently, connected miscellaneous petition is closed.

31.10.2025 NCC : Yes / No Internet : Yes / No Index : Yes / No rmi To

The State Tax Officer, Thanjavur-1 Assessment Circle, Commercial Taxes Buildings, Thanjavur.

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W.P.(MD)No.31049 of 2025

G.R.SWAMINATHAN, J

rmi

W.P(MD)No.31049 of 2025

31.10.2025

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