Judicial Analysis Court Copy Headnote Facts Arguments Court observation

2026 Supreme(Online)(Mad) 37812

IN THE HIGH COURT OF JUDICATURE AT MADRAS
D.Bharatha Chakravarthy, J
Sri Hari Krishna Product Represented by its Proprietor P.Sivalingam – Appellant
Versus
Assistant Commissioner (ST) (FAC) Jaihindpuram Assessment Circle Madurai – Respondent
W.M.P(MD)No.9104 of 2026

Advocates:
For the Appellants/Petitioners: Mr.S.Karunakar
For the Respondents: Mr.R.Suresh Kumar Additional Government Pleader

Court sets aside ex parte GST assessment on equitable grounds, remands for fresh hearing after 25% deposit, emphasizing opportunity for assessee to submit explanations despite prior non-participation.

Headnote:(A) Tamil Nadu Goods and Services Tax Act, 2017 - Section 73 - Assessment order passed ex parte due to non-utilisation of opportunities by assessee - Discrepancies noted, assessee's explanations on merits, and reasons for non-participation summarised - Court grants opportunity to assessee to present submissions and documents before assessing officer on equitable grounds, subject to condition of depositing 25% of disputed tax amount - Impugned assessment and rectification orders set aside, matter remanded for fresh consideration. (Paras 3, 4, 5)

Facts of the case:
Writ petition challenging ex parte assessment order under Section 73 followed by rectification order, on grounds of lack of jurisdiction and violation of statutory provisions. Assessee did not avail opportunities provided.

Findings of Court:
Opportunity granted on condition of 25% deposit; impugned orders set aside and remanded; bank account attachment raised.

Issues: Validity of ex parte assessment and rectification orders; whether opportunity should be granted despite non-participation.

Ratio Decidendi: Courts extend opportunities on equitable grounds under conditions, enabling assessee to submit reply and documents for fresh consideration in accordance with law.

Result: Writ petition allowed on specified terms.

Table of Content
1. writ petition challenges gst assessment orders. (Para 1)
2. ex parte assessment due to non-participation. (Para 2)
3. court grants fresh hearing opportunity. (Para 4)
4. petition allowed with 25% deposit condition. (Para 5)

ORDER

This Writ Petition challenges the impugned order dated

17.11.2025 which is an assessment order passed by the first respondent under Section 73 of the TNGST Act 2017 and followed by consequential rectification order dated 17.11.2025.

2. I have heard the learned counsel for the petitioner and the learned Additional Government Pleader representing the revenue. 3. By the impugned orders, the assessment was made ex parte because the petitioner did not utilise the opportunities provided. The discrepancies and grounds on which the assessment order was issued, the dealer’s explanation on merits, and the reasons for not participating in the assessment proceedings are summarised briefly and presented in a table below:

4. Considering the nature of the discrepancies noted, the explanation provided by the assessee and the reason given before this Court for not availing the opportunity, I believe that an opportunity can be granted to the assessee to present their submissions and produce the relevant supporting documents before the respondent assessing officer. This Court has been extending such opportunities on equitable grounds; however, under appropriate conditions. Therefore, an opportunity is granted to the petitioner assessee on the condition of depositing 25% of the disputed tax amount.

5. In view of this, the writ petition is allowed on the following terms:-

i. Within four weeks of receiving the web copy of the order, the petitioner shall deposit 25% of the disputed tax amount with the first respondent, without waiting for a certified copy of the order.

ii. Upon such deposit, the impugned order dated 17.11.2025 followed by consequential rectification order dated 17.11.2025 shall stand set aside, and the matter shall stand remanded back to the file of the first respondent.

iii. The assessee shall appear before the first respondent without fail and submit their reply and documents in support of their claim, and it is for the first respondent to consider the matter afresh and pass orders in accordance with law.

iv. Since the impugned order of assessment is set aside, any attachment of the bank account made pursuant to the impugned order shall stand raised.

No costs Consequently, connected Miscellaneous Petition is closed.

22.04.2026 NCC : Yes / No ps To

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2026 Supreme(Online)(Mad) 37812

IN THE HIGH COURT OF JUDICATURE AT MADRASD.Bharatha Chakravarthy, JSri Hari Krishna Product Represented by its Proprietor P.Sivalingam – AppellantVersusAssistant Commissioner (ST) (FAC) Jaihindpuram Assessment Circle Madurai – RespondentW.M.P(MD)No.9104 of 2026

Court sets aside ex parte GST assessment on equitable grounds, remands for fresh hearing after 25% deposit, emphasizing opportunity for assessee to submit explanations despite prior non-participation.

IN THE HIGH COURT OF JUDICATURE AT MADRAS
D.Bharatha Chakravarthy, J
Sri Hari Krishna Product Represented by its Proprietor P.Sivalingam – Appellant
Versus
Assistant Commissioner (ST) (FAC) Jaihindpuram Assessment Circle Madurai – Respondent
W.M.P(MD)No.9104 of 2026