An assessment order must be a speaking order that considers and addresses the taxpayer's specific explanations, particularly regarding the correct invocation of penalty-related statutory provisions, to satisfy the requirement of natural justice.

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT Dated: 30.04.2026 CORAM THE HONOURABLE MR JUSTICE D.BHARATHA CHAKRAVARTHY and W.M.P(MD)Nos.10220 and 10221 of 2026 Tvl Glory Graphics, Represented by its Partner, V.Arun Prakash, 1189, Gnanagiri Road, Sivakasi, Virudhunagar District. ... Petitioner Vs.

Assistant Commissioner (ST), Assessment Circle-I, Commercial Tax Department, Commercial Taxes Building, N.G.O.Colony, Satchiyapuram, Sivakasi 626 124. ...Respondent Prayer: Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Certiorari calling for the records pursuant to the impugned notice in DRC 01 dated 06.10.2025 and its consequential order in DRC07 dated 10.4.2026 vide reference Nos. ZD3304260957146 and quash the same and pass such or other further order as this Honourable Court may deem fit and proper in the circumstances of the case and thus render justice.

For Petitioner : Ms.A.Lakshmi M/s.Polax Legal Solutions For Respondent : Mr.R.Suresh Kumar Additional Government Pleader ORDER The writ petition is filed challenging the impugned orders dated

06.10.2025 and 10.04.2026. The order dated 06.10.2025, is an order of assessment passed under Section 74 of the Tamil Nadu Goods and Services Tax Act, 2017.

2. Heard Ms.A.Lakshmi, learned counsel appearing for the petitioner and Mr.R.Suresh Kumar, learned Additional Government Pleader, who takes notice on behalf of the respondent.

3. Upon hearing the learned counsel for the petitioner and perusing the material records of the case, the petitioner’s case is that when the Show Cause Notice was issued, no proper averments or allegations were contained in the Show Cause Notice so as to invoke Section 74 of the Tamil Nadu Goods and Services Tax Act, 2017. The further case of the petitioner is that the impugned order is a non- speaking and cryptic order, as the petitioner had explained that the noted difference in the amount was only due to changes in inventory and the wrongful inclusion of GST expenses in the turnover. Other direct purchases, such as rent, telephone charges, and accounting charges, were also included. The authority did not consider these and rejected the explanation without giving detailed reasons.

4. Per contra, the learned Additional Government Pleader appearing for the respondent submitted that when an allegation is made relating to suppression of turnover, there is justification in invoking Section 74 of the Tamil Nadu Goods and Services Tax Act, 2017. After considering the objections raised by the petitioner, the authority has passed the impugned order. There is also an appeal remedy available against the order, which was not availed of by the petitioner.

5. I have considered the rival submissions made on either side and perused the material records of the case.

6. Considering the peculiar nature of the case, when the Show Cause Notice was issued noting the discrepancy between the turnover reported and the turnover noted from the petitioner’s records, the petitioner took a specific stand in the reply. However, the reply consists only of a single, general sentence.

7. The learned counsel for the petitioner stated that during the personal hearing, the explanation was demonstrated.

8. Be that as it may, I am of the view that considering the nature of the allegations and the reply given, one more opportunity can be granted to the petitioner to address the ground of whether Section 74 of the Tamil Nadu Goods and Services Tax Act, 2017 can be invoked or not.

This ground can also be raised during the proceedings.

9. In view thereof, the writ petition is ordered on the following terms:-

i. The impugned orders dated 06.10.2025 and 10.04.2026 shall stand set aside and the matter shall remanded back to the file of the respondent.

ii. The petitioner is directed to file any additi