The court quashed the show-cause notice and orders, emphasizing reassessment of service tax liabilities based on legislative compliance and prior case law, without pre-issuance inquiry necessary.

ORDER :

M.NAGAPRASANNA, J.

The petitioner is before this Court seeking the following prayers:

"i. Quash the impugned order passed by Respondent No.1 in OIA No.208209/2024-25 CT dated 30.08.2024 which is herewith enclosed as Annexure "A" which is without jurisdiction and opposed to legislative intent; and

ii. Quash the order passed by the Assistant Commissioner of Central Tax, Respondent No.2, in OIO No.37/2023-24 Adjn.ND.3 dated 27.10.2023 which is herewith enclosed as Annexure "C".

iii. Quash the show cause notice issued by the Respondent No.3 dated 31.12.2020 in No.56514/2020 in File No.GEXCOM/AE/VRFN/TPD/383/2020-AE-COMMR- CGST-BENGALURU(N) which is herewith enclosed as Annexure "G".

iv. Pass any other order to give any other direction as this Honorable Court deems fit and appropriate in the circumstances of the case."

2. Heard Shri Chidananda Urs B.G., learned counsel appearing for the petitioner and Shri Aravind V. Chavan, learned counsel appearing for the respondents and have perused the material on record.

3. The learned counsel appearing for the petitioner submits that the issue in the lis is akin to what is decided by the Coordinate Bench in W.P.No.11154/2023 (T-IT) C/w W.P.No.15959/2021 (T-RES) and connected matters, between M/S KARNATAKA CHINMAYA SEVA TRUST vs. JOINT COMMISSIONER OF CENTRAL TAX AND ANOTHER disposed on 03.07.2024. He would submit that several of the petition was disposed in the same terms.

4. The learned counsel appearing for the Revenue would not dispute the position.

5. I, therefore deem it appropriate to notice what the Co-ordinate Bench has held in W.P.No.11154/2023 (T-IT) C/w W.P.No.15959/2021 (T-RES) and connected matters, between M/S KARNATAKA CHINMAYA SEVA TRUST vs. JOINT COMMISSIONER OF CENTRAL TAX AND ANOTHER disposed on 03.07.2024, which reads as follows:

“2. In all these matters, the proceedings by way of show-cause notice under the Finance Act for service tax liability have been initiated on the basis of inputs received from the Central Board of Direct Taxes on the basis of Form 26AS/Income Tax returns filed.

3. The details of the writ petitions and the stages are as follows:

Challenge to Show-cause Challenge to Orders-in-Original Notice Column No.1 Column No.2

4. After having heard the matters on various occasions, the Union of India have taken a stand and filed affidavit of the Principal Commissioner, Central Taxes.

5. Sri.N.Venkataraman, learned Additional Solicitor General who was present before the court on 27.06.2024 had submitted that they desire that the matters be resolved and accordingly have putforth a proposed mechanism and made certain suggestions in the affidavit filed. The relevant extract of the affidavit filed by the Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate reads as hereunder:

"I, Kiran Verma, working as Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate, Bengaluru do hereby solemnly affirm and state on oath as follows:

I am working as Principal Commissioner of