Writ petition challenging a Garnishee notice issued to personal accounts for company tax arrears was dismissed as infructuous after the department revoked the notice. The court reserved the petitioners' right to pursue other remedies.
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[3386 ]
IN THE HIGH COURT FOR THE STATEOF TELANGANA AT HYOERABAD (Special Original Jurisdiction)
TUESDAY, THE EIGHTH DAY OF AUGUST TWO THOUSAND AND TWENTY THREE
PRESENT
THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND
THE HONOURABLE SRI JUSTICELAXMINARAYANA ALISHETTY
WRIT PETITION NO: 9047 OF 2023
Between:
...PETITIONERS
AND
...RESPONDENTS
Petition under Article 226 ot lhe Constitutionof lndia prayingthat in the circumstances stated in the affidavitfiledtherewith,the High Courtmay be pleased to issue Writ of Mandamus or any other appropriateWrit or Order or Direction declaring the action of the1st Respondent in issuing the Garnishee Notice, dated 20.03.2023 under Section79(1Xc)of the GST Act, instead of Section 29 of the TelanganaValue AddedTax Act, 2005, to the personal account of the 1st Petitionervide Account No.1410172000012026and the Deponents Mother 2nd Petitioner herein is ajoint account holder, the 2nd Petitioneris mother of 1st Petitionerand also she is a Directorin M/s.R.N.MetalsPrivate
Limited though the Petitioner is nothingto do anything againstthe tax arrears of Private Limited Company, as arbitrary,contrary to law, without jurisdictionand also the same is in violation ofPrinciplesof Natural Justice and Rule of Law. For arrears of tax, if any, bythe Company, cannotbe recoveredfromthe personal property of the Director of the Company, when theCompanyis not woundup, and consequently setaside the Garnishee Notice dated 20.03.2023as null and void and to direct the'l st Respondent torevokethe Garnishee Noticedated 20.03.2023 in Form GST DRC-13issuedto the 2nd Respondent forthwith.
lA NO: 1 OF 2023
Petition under Section 151 CPCprayingthat in the circumstances stated in the affidavit filed in supportof the petition,the HighCourt maybe pleasedto grant stay of all further proceedings,pursuant to theGarnishee Notice,dated 20.O3.2023 rssued under Section79(1Xc) ofthe GST Act, by the 1st Respondent, to the 2nd Respondent,pending disposal of the above Writ Petition, as otherwise, the Petitioner wouldbe put to severe loss and hardship.
Counsel for the Petitioners : SRI SHAIKJEELANI BASHA
Counsel for the RespondentsNo.1&3: GPFOR COMMERCIALTAX
Counsel for the Respondents No.2 :
The Court made the following: ORDER
THE HON'BLE SRI JUSTICE P.SAMKOSITY
AND
THE IION'BLE SRI JUSTICE A. LAXMI NARAYANA
W.P.No.9O47 of 2023
COMMON OR-DER'.(per Hon'ble Si JttsticeP.SAIf KosHY)
Takrng into consideration the submissions made bythe learned counsel for the petitioners that the GarnisheeNotice dated2O.O3.2O23since been revoked by the Department, nothingfurtherremains to be adjudicated in the present writ petition.
Accordingly, the Writ Petition stands dismissedfor havingbecome infructuous. However, the right of thepetitioners' standsreservedto avail such other remedies in the event of situations, soarise. There shall be no order as to costs.
Consequently, miscellaneouspetitions pending, ifany, shallstand
closed
SD /- MOHD.SANAULLAHANSARI ASSISTANTREGIS R
\
//TRUECOPY// SECTIONOFFICER
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HIGH COURT
DATED:0810812023
ORDER
WP.No.9047 ot 2023
STATE o
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DISMISSING THE WRIT PETITION AS INFRUCTUOUS WITHOUT COSTS
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Mayur Gopal Agarwal
Pushpa Agarwal
The Assistant Commissioner of State Tax
The Manager, Karur Vysya Bank
The State of Telangana
P. Sam Koshy
Laxminarayana Alishegty
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
