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CDJ 2026 MHC 2010 print Preview print Next print
Court : High Court of Judicature at Madras
Case No : WP. No. 5262 of 2026 & WMP. Nos. 5779 & 5780 of 2026
Judges: THE HONOURABLE MR. JUSTICE C. SARAVANAN
Parties : M/s Vasanth Ads, rep by its Proprietor, K. Madhu Reddy, Vellore Versus Deputy State Tax Officer, Gudiyatham
Appearing Advocates : For the Petitioner: C. Jayavel, Advocate. For the Respondent: P. Selvi, GA.
Date of Judgment : 19-02-2026
Head Note :-
Constitution of India - Article 226 -
Summary :-
1. Statutes / Acts / Rules Mentioned:
- Article 226 of the Constitution of India
- Section 107 of the GST enactments, 2017

2. Catch Words:
- limitation
- pre‑deposit
- remand
- quash
- fresh order
- bank attachment

3. Summary:
The petition under Article 226 challenges a GST order dated 21‑02‑2025, alleging procedural lapses after the petitioner failed to appear at hearings and file replies to the show‑cause notice. The court notes that the limitation period for filing an appeal under Section 107 of the GST Act has expired. The petitioner offered to pre‑deposit 25 % of the disputed tax for a de novo adjudication. Aligning with similar precedents, the court remits the matter to the revenue authority to pass a fresh order, subject to the petitioner depositing the stipulated amount within 30 days and filing a reply to the show‑cause notice. Bank attachment is ordered to be lifted upon compliance. Failure to comply will allow the respondent to recover tax as if the petition were dismissed. The petition is disposed of with these observations and no costs.

4. Conclusion:
Petition Allowed
Judgment :-

(Prayer: This petition has been filed under Article 226 of the Constitution of India, to call for the records of the impugned Order in GSTIN/33AIUPR8303B3Z6/2020-21 dated 21.02.2025 passed by the respondent for the financial year 2020-21 and quash the same.)

1. 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 21.02.2025, which was preceded by a Show Cause Notice in GST DRC-01 dated 25.11.2024 wherein the Petitioner was called upon to appear for personal hearing. However, the Petitioner had not taken advantage of the same and thus, suffered the impugned Order dated 21.02.2025.

4. The Petitioner was also issued with Reminders on 05.02.2025, 13.02.2025 and 18.02.2025, which called upon the Petitioner to file a reply and to appear for a personal hearing. The Petitioner however neither filed any reply nor appeared for the personal hearings fixed on 10.02.2025, 17.02.2025 and 20.02.2025. Thus, the impugned Order has been passed.

5. 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. The present Writ Petition has been presented only on 19.01.2026.

6. At this stage, the learned counsel for the Petitioner submits that the Petitioner is willing to pre-deposit 25% of the disputed tax as a condition for denovo adjudication and he has made an endorsement to that effect in the Court bundle.

7. Under similar circumstances, Orders have been quashed and cases have been remitted back to the Respondent to pass a fresh order on terms subject to such Assessee depositing 25% to 100% of the disputed tax depending upon the length of delay in approaching the Court. I do not find any reason to take a different view in this case.

8. Therefore, to balance the interest of both parties viz., the Assessee and the Revenue, the case is remitted back to the Respondent to pass a fresh order on merits subject to the Petitioner depositing 25% 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.

9. Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 25.11.2024 together with requisite documents to substantiate the case by treating the impugned Order dated 21.02.2025 as an addendum to the Show Cause Notice dated 25.11.2024.

10. 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 shall also stand automatically vacated.

11. It is made clear that bank attachment shall be lifted subject to the Petitioner depositing 25% 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.

12. 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.

13. Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.

14. This Writ Petition stands disposed of with the above observations. No costs. Connected Writ Miscellaneous Petitions are closed.
 
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