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2026 Supreme(Online)(Mad) 35773
IN THE HIGH COURT OF JUDICATURE AT MADRAS
C. SARAVANAN, J
SRI SAI WEIGH BRIDGE Represented by its Proprietor Mrs.C.Komal – Appellant
Versus
The Deputy State Tax Officer/The Deputy Commercial Tax Officer – Respondent
W.M.P.Nos.14964 &14965 of 2026
For Petitioner(s): Mr.K.Sankaranarayanan
For Respondent(s):Mrs.P.Selvi Government Advocate
Writ petition remitted for de novo GST assessment adjudication upon 50% pre-deposit of disputed tax.
Headnote:The petitioner challenged an assessment order under GST for FY 2019-20 passed on 15.07.2024, following a Show Cause Notice dated 02.03.2024, alleging violation of natural justice principles. The court noted the petitioner's failure to respond to the notice or attend the hearing, and the expiry of the appeal limitation under Section 107 of GST enactments. The court found the petitioner willing to pre-deposit 50% of disputed tax for fresh adjudication. The primary issue was the validity of the impugned order due to non-response to the Show Cause Notice. The court reasoned that remittal for de novo adjudication was appropriate upon pre-deposit and fresh reply, treating the impugned order as an addendum to the notice, to ensure compliance with natural justice. The writ petition was disposed of, remitting the matter back to the respondent for fresh order on merits within three months of compliance, with automatic vacation of bank attachment upon 50% deposit.
| Table of Content |
|---|
| 1. petition challenges gst order; appeal limitation expired. (Para 2 , 3 , 4) |
| 2. petitioner consents to 50% pre-deposit for remittal. (Para 5 , 6) |
| 3. fresh adjudication ordered with compliance conditions; non-compliance allows recovery. (Para 7 , 8 , 9 , 10) |
ORDER
Mrs.P.Selvi, learned Government Advocate takes notice for the Respondent.
2. This Writ Petition is being disposed of at the stage of admission itself with the consent of the learned counsel for the Petitioner and the learned Government Advocate for the Respondent.
3. In this Writ Petition, the Petitioner has challenged the impugned Order dated 15.07.2024, which was preceded by a Show Cause Notice in GST DRC-01 dated 02.03.2024 wherein the Petitioner was called upon to file a reply and to appear for a personal hearing. However, the Petitioner did not take advantage of the same and has thus suffered the impugned Order dated
15.07.2024.
4. It is noticed that the limitation for filing an appeal under Section 107 of the respective GST enactments, 2017 against the impugned Order has already expired long before. However, the present Writ Petition has been filed only on
06.04.2026.
5. At this stage, the learned counsel for the Petitioner submits that the Petitioner is willing to pre-deposit 50% of the disputed tax as a condition for denovo adjudication and he has also made an endorsement to that effect in the Court bundle which has been extracted hereunder:-
“Agreed for 50% of tax payment.”
6. Recording the above consent given by the Petitioner, the case is remitted back to the Respondent to pass a fresh order on merits subject to the Petitioner depositing 50% of the disputed tax in cash or from the Petitioner's Electronic Cash Register within a period of thirty (30) days from the date of receipt of a copy of this order.
7. Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 02.03.2024 together with requisite documents to substantiate the case by treating the impugned Order dated
15.07.2024 as an addendum to the Show Cause Notice dated 02.03.2024.
8. In case the Petitioner complies with the above stipulations, the Respondent shall proceed to pass a final order on merits and in accordance with law as expeditiously as possible, preferably, within a period of three (3) months of such reply/pre-deposit. Subject to the Petitioner complying with the above stipulations, the attachment of the bank account of the Petitioner if any, shall also stand automatically vacated.
9. It is made clear that bank attachment shall be lifted subject to the Petitioner depositing 50% of the disputed tax as ordered above and the Petitioner not being in arrears of any other amount for any other tax period barring the amount demanded under the impugned Order.
10. In case the Petitioner fails to comply with any of the stipulations, the Respondent is at liberty to proceed against the Petitioner to recover the tax in accordance with law as if this Writ Petition was dismissed in limine today. 11. Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.
12. This Writ Petition stands disposed of with the above observations.
