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NC: 2026:KHC:17143 WP No. 9047 of 2026

HC-KAR

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 26^TH DAY OF MARCH, 2026

BEFORE THE HON'BLE MR. JUSTICE S SUNIL DUTT YADAV

WRIT PETITION NO. 9047 OF 2026 (T-RES)

BETWEEN:

MR. FAZIL AHMED S/O SHARIFF SAB,

AGED ABOUT 59 YEARS, RESIDING AT NO.14, 6^TH MAIN, 3^RD CROSS, MARUTHI LAYOUT,

BTM LAYOUT 1^ST STAGE, BENGALURU - 560 029.

…PETITIONER (BY SRI. NAVEED AHMED, ADVOCATE)

AND:

1. THE PRINCIPAL COMMISSIONER OF CENTRAL TAX BENGALURU SOUTH COMMISSIONERATE,

BENGALURU. Digitally signed by VIJAYA P

Location: HIGH 2. THE DEPUTY COMMISSIONER OF CENTRAL TAX COURT OF SOUTH DIVISION-4, C WING, KARNATAKA

7^TH FLOOR, KENDRIYA SADAN, KORAMANGALA,

BENGALURU - 560 034.

3. THE ASSISTANT COMMISSIONER OF CENTRAL TAX,

SOUTH DIVISION-4, BENGALURU SOUTH COMMISSIONERATE,

BENGALURU.

…RESPONDENTS (BY SRI. JEEVAN J. NEERALGI, ADVOCATE)

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NC: 2026:KHC:17143 WP No. 9047 of 2026

HC-KAR

THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE COMMUNICATION LETTER BEARING FILE NO.GEXCOM/TECH/ MISC/2219/2025-CGST-DIV-SD-4-COMMRTE 113/26 DATED 27.02.2026 ISSUED BY THE 3^RD RESPONDENT AND THE CONSEQUENTIAL ORDER-IN-ORIGINAL NO.98/2022 SD-4 DATED 26-07-2022 PASSED BY THE 3^RD RESPONDENT IS AS BEING ILLEGAL, ARBITRARY AND IN VIOLATION OF THE PRINCIPLES OF NATURAL JUSTICE VIDE ANNEXURE A AND B

RESPECTIVELY AND ETC., THIS PETITION COMING ON FOR PRELIMINARY HEARING,

THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S SUNIL DUTT YADAV

ORAL ORDER

Learned counsel, Sri. Jeevan J. Neeralgi accepts

notice for the respondents.

2. The petitioner has called in question the validity

of the Order-in-Original at Annexure-B and has also sought for setting aside of the consequential proceedings. It is the case of the petitioner that the respondent authority has relied on the inputs from the Central Board of Direct Taxes and upon declaration made in the income tax return, for adjudicating and raising a demand of

service tax in terms of the Finance Act, 1994.

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NC: 2026:KHC:17143 WP No. 9047 of 2026

HC-KAR

3. It is submitted that in identical circumstances,

this Court noticing that the proceedings are initiated solely on the basis of declaration under the income tax returns remitting the matter for reconsideration, taking note of observations made in W.P.No.11154/2023. It is further submitted that the petitioner would place material and meet the grounds raised in the show-cause notice if opportunity is granted. It is submitted that due to bonafide reasons the petitioner could not participate in the

proceedings and the order passed is an ex-parte order.

4. Perused the order dated 03.07.2024 passed in

W.P.No.11154/2023 and connected petitions.

5. This Court while disposing of the said petitions

by remanding it to the stage of reply to the show cause notice had made certain observations to be kept in mind by the concerned officials. The observations made from

para-10 onwards reads as follows:-

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NC: 2026:KHC:17143 WP No. 9047 of 2026

HC-KAR

10. The officers while disposing off the petitions to keep in mind the following:

1) Whether petitioners do not qualify under Section 65B(44) of the Finance

Act, 1994 ?

2) Whether services are covered under negative list ?

3) Whether services are covered under the exemption list under the Notification No.25/2012-ST dated 28.06.2012 or under any other

applicable Notifications?

4) Whether the person is liable to remit service tax in terms of Rule 2 (1) (d)

read with applicable notification?

5) Whether claims are barred by limitation in terms of the law laid

down by the Apex Court?

11. It is also clarified that disposal of present petitions must not be construed as having adjudicated any of the contentions including jurisdiction. All contentions of both sides on merits

are kept open.

12. Needless to state, upon conclusion of proceedings, if any of the petitioners are still aggrieved, legal remedies are kept open. It is also clarified that whereve