IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 13^TH DAY OF NOVEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 23369 OF 2025 (T-RES)

BETWEEN:

SRI. PRASANNA KUMAR H K AGED ABOUT 53 YEARS, S/O H D KRISHNAPPA, CIVIL WORKS CONTRACTOR, RESIDING OPP. ANNAPURNESHWARI KALYANA MANTAPA, NEAR DENTAL COLLEGE

2^ND STAGE, M G ROAD, VIDYANAGAR, HASSAN-573 201.

…PETITIONER (BY SRI. NAVEEN G.S., ADVOCATE)

AND:

THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES., LOCAL GOODS SERVICE TAXES OFFICE-240 SWAMY ARCADE, I FLOOR, OPP. TO HDFC BANK, Digitally KUVEMPU NAGAR, signed by HASSAN-573 201.

MADHURI S …RESPONDENT Location :

(BY SRI. K. HEMA KUMAR, AGA)

High Court of Karnataka THIS W.P. IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH / SET ASIDE THE ASSESSMENT ORDER PASSED UNDER SECTION 38(5)(A) DATED 11.09.2023 BY THE RESPONDENT AND PRODUCED AS ANNEXURE-D AND ETC.

THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

ORAL ORDER

In this petition, petitioner seeks the following reliefs:

“(i) Issue a writ or such other order in the nature of Certiorari to quash / set aside the assessment order passed under section 38(5)(a) dated 11.09.2023 bearing No. ACCT/LVO-240/HSN/K-VAT Asst/38(5)/01/2023-24 by the Respondent and produced as Annexure-D; and (ii) Issue a writ or such other order in the nature of Certiorari to quash / set aside the demand notice dated 11.09.2023 in Form VAT 180 bearing No. ACCT/LVO- 240/HSN/K-VAT by the Asst/38(5)/F-180/01/2023-24 passed Respondent and produced as Annexure- D-1; and (iii) Issue a writ or such other order in the nature of Certiorari to quash / set aside the Application under Section 42(9) (c) dated 04.05.2024, issued by Respondent and produced as Annexure- C; and (iv) Pass such other orders as this Hon'ble Court deems fit to grant in the interest of justice and equity.”

2. Heard learned counsel for the petitioner and learned AGA for the respondents and perused the material on record. 3. A perusal of material on record will indicate that the respondent issued a pre-assessment notice under Section 38(5)(a), 72(5) and 36(1) of the KVAT Act, 2017 dated 25.07.2023 to the petitioner proposing to levy a total demand of Rs.88,75,589/- including the tax, interest and penalty, to which the petitioner did not submit any reply. Subsequently, the respondent issued an Endorsement dated 21.08.2023, to which also the petitioner did not submit any reply and therefore, the respondent proceeded to pass the impugned ex-parte assessment order dated 11.09.2023 under Section 38(5)(a), 72(5) and 36(1) of the KVAT Act confirming the total demand of Rs.88,75,589/- including the tax, interest and penalty. Subsequently, the respondents filed an application under Section 42(9)(c) of the KVAT Act before the Court of the Civil Judge and JMFC, Hassan in C.Misc No.547/2024 for recovery of the said demand.

4. Aggrieved by the aforesaid impugned order and the recovery proceedings, the petitioner has no option but to approach this Court by way of the present petition interalia contending that the inability and omission on the part of the petitioner to submit a reply to the notices and contest the proceedings was due to bonafide reasons, unavoidable circumstances and sufficient cause and submits that if one more opportunity is provided, by setting aside the impugned order, the petitioner would submit a reply to the show-cause notice and contest the proceedings.

5. Per contra, learned AGA for the respondents submits that there is no merit in the petition and the same is liable to be dismissed.

6. Though several contentions have been urged by both sides, having regard to the specific assertion on the part of the petitioner that his inability and omission to submit replies and contest the proceedings was due to bonafide reasons, unavoidable circumstances and sufficient cause, I deem it just and appropriate to adopt a justice oriented appro