Judgment
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29TH DAY OF AUGUST, 2026 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 23184 OF 2026 (T-RES)
BETWEEN:
M/S SRI VINAYAKA ELECTRICALS A SOLE PROPRIETORSHIP, HAVING ITS PLACE OF BUSINESS AT NO. 109, WARD 17, KOARACHARA COLONY, KR EXTENSION, MADHUGIRI, TUMAKURU, KARNATAKA-572 132, REPRESENTED BY ITS PROPRIETOR, MR. NAGARAJ, (AADHAR CARD NO 9746 9678 5955)
AGED ABOUT 44 YEARS, S/O NARAYANAPPA, RESIDING AT NO. 16, 2ND MAIN ROAD, KUNIGAL ROAD, BANASHANKARI, TUMAKURU, KARNATAKA 572 102 …PETITIONER (BY SRI. JOSEPH VARGHESE, ADVOCATE) AND:
1.
ASSISTANT COMMISSIONER OF COMMERCIAL TAXES (AUDIT AND RECOVERY) 6.8, DGSTO - VI, HAVING ITS OFFICE AT 3RD FLOOR, KIADB BUILDING, 14TH CROSS, 2ND STAGE, PEENYA INDUSTRIAL AREA, BENGALURU- 560 058.
Digitally signed by VANAMALA N Location:
HIGH COURT OF KARNATAKA
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
2.
JOINT COMMISSIONER OF COMMERCIAL TAXES, (ADMIN) DGSTO - 06, HAVING ITS OFFICE AT 3RD FLOOR, KIADB BUILDING, 2ND STAGE, PEENYA, BENGALURU-560 058.
…RESPONDENTS (BY SMT. MALAVIKA PRASAD ,HCGP)
THIS W.P. IS FILED UNDER ARTICLE 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE IMPUGNED PRE-INTIMATION TO SHOW CAUSE NOTICE BEARING NO.DOST0-06/AC(A)-6.8/ADJ/S.74A /54/2025-26 DTED 13.08.2025 ISSUED BY THE RESPONDENT NO. 1 (ANNEXURE A) II) QUASH THE IMPUGNED FORM GST DRC-01A BEARING REFERENCE NO.ZD290825046929J AND CASE ID AD290825014157X DATED 13.08.2025 ISSUED BY THE RESPONDENT NO. 1 (ANNEXURE A1) III) QUASH THE IMPUGNED SHOW CAUSE NOTICE ISSUED UNDER SECTION 74A OF THE KGST ACT, 2017, DATED 10.10.2025 BEARING NO.
DGST0-06/AC(A)-6.8/ADJ/S.74A/54/2024-25 AND CASE ID ASSIGN.AUDIT/938/2025-26 ISSUED BY THE RESPONDENT NO. 1 (ANNEXURE B) IV) QUASH THE IMPUGNED SUMMARY OF SHOW CAUSE NOTICE ISSUED FORM DRC-01 DATED 10.10.2025 BEARING NO. ZD291025026122W ISSUED BY THE RESPONDENT NO.1(ANNEXURE B1) V. QUASH THE IMPUGNED ORDER OF ADJUDICATION PASSED UNDER SECTION 74A (9) OF THE KGST ACT, 2017, DATED 04.02.2026, BEARING NO DOST0-06/AC(A)-6.8/ADJ/S.74A/54 /
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
2025-26 AND CASE ID ASSIGN.AUDIT/938/2025-26 BY THE RESPONDENT NO. 1 (ANNEXURE C) VI) QUASH THE IMPUGNED SUMMARY OF ORDER ISSUED IN FORM GST DRC-07 DATED 04.02.2026 BEARING REFERENCE NO. ZD290226017214N ISSUED BY THE RESPONDENT NO.
1 (ANNEXURE C1) VII) ALTERNATIVELY, REMAND THE MATTER TO THE STAGE OF HEARING ON THE IMPUGNED SHOW CAUSE NOTICE ISSUED UNDER SECTION 74A OF THE KGST ACT, 2017, DATED 10.10.2025 BEARING NO. DGST0- 06/AC(A)-6.8/ADJ/S.74A/54/2024-25 AND CASE ID ASSIGN.AUDIT/938/2025-26 ISSUED BY THE RESPONDENT NO. 1 (ANNEXURE B), KEEPING ALL CONTENTIONS OPEN AND THE REMAND PROCEEDINGS TO BE CONDUCTED IN ACCORDANCE WITH LAW IN A TIME-BOUND MANNER IN SUCH PERIOD AS THIS HONBLE COURT MAY DEEM FIT.WWW
THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN B - GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
ORAL ORDER
The petitioner has called in question the following Notices/Adjudication Orders which are for the Financial Year 2025-26.
Notices /Orders
Date Provisions of CSGT and KGST Act Assessment year Annexures Pre - Intimation to Show Cause Notice 13.08.2025 74A 2025-2026 A Form GST DRC - 01A 13.08.2025 74A(8) 2025 - 2026 A1 Show cause notice/ Summary of show-cause notice 10.10.2025 74A (1) 2025-2026 B & B1 Order of Adjudication/ Summary of Order 04.02.2026 74A(9) 2025-2026 C & C1
The petitioner’s case is that the proceedings are concluded ex parte, and that the petitioner has not participated in the proceedings because the petitioner was served with multiple notices resulting in orders with accounts being frozen. This Court in a series of writ petitions has interfered to restore the
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
proceedings for reconsideration.
This Court’s interference is premised in the reasoning that if the petitioner can indeed justify that the total value of the goods supplied under the works contract is below 25% of the works contract value, the petitioner would be entitled to exemption, an assertion that is accepted by the authorities in some of the orders that this Court has passed earlier. In the light of the afore, the following.
ORDER [A] The petition is allowed-in-part quashing the following reserving liberty to the petitioner to file a certified copy and its reply with documents in response to the Show Cause Notice/Summary thereof dated 10.10.2025 with the first respondent by 30.09.2026 and also to deposit
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HC-KAR
CNR: KAHC010511042026 NC: 2026:KHC:46882 WP No. 23184 of 2026
10% of the tax in demand by that period.
The details of the quashed Orders:
Notices /Orders
Date Annexures Order of Adjudication 04.02.2026 C Summary of Order 04.02.2026 C1
The petitioner is called upon to file a certified copy of this Order and its Reply with documents with the first respondent by 30.09.2026 and also to deposit 10% of the tax in demand by such date.
Sd/- (B M SHYAM PRASAD) JUDGE
NV List No.: 2 Sl No.: 0