M/S Sri Renuka Enterprises vs. Deputy Commissioner Of Commercial Taxes - Karnataka High Court, 21 July 2026

Cause title — parties, addresses and appearances

- 1 - HC-KAR CNR: KAHC010477012026 NC: 2026:KHC:37369 WP No. 21568 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF JULY, 2026 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 21568 OF 2026 (T-RES) BETWEEN: M/S SRI RENUKA ENTERPRISES BY PROP KALA KAPPA AGED ABOUT 45 YEARS, NO.SHED NO.C-36, PILLAGUMPE INDUSTRIAL ESTATE, NEAR CHINTHAMANI ROAD, HOSKOTE INDUSTRIAL AREA, BANGALORE -562114 (IN REGULATION U/S PROPRIETORSHIP ACT 1908) …PETITIONER (BY SRI. E.I. SANMATHI., ADVOCATE) AND: 1. DEPUTY COMMISSIONER OF COMMERCIAL TAXES (AUDIT) 5.2, DGSTO-5, ROOM NO.502, A BLOCK, 5TH FLOOR, RAJENDRA NAGAR, KORMANGALA, BANGALORE-560047. 2. THE COMMISSIONER OF COMMERCIAL TAXES 17TH MAIN ROAD KALIKA CIRCLE Digitally signed by VANAMALA N Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR CNR: KAHC010477012026 NC: 2026:KHC:37369 WP No. 21568 of 2026 GANDHINAGAR, BANGALORE-560009. …RESPONDENTS (BY SMT.JYOTHI M MARADI., HCGP) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH (A)

ORDER IN ORIGINAL BEARING NO.DCCT9A)- 5.2/DGSTO-05/ADJ(73)/2025-26 DATED 25/9/2025 PASSED BY DEPUTY COMMISSIONER OF COMMERCIAL TAXES (AUDIT)5.2, DGSTO-5, BANGALORE DATED 25/9/2025 FOR THE PERIOD APRIL 2021 TO MARCH 2022. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD

ORAL ORDER

The petitioner is aggrieved by the Adjudication Order dated 25.09.2025 under Section 73[5] of the Karnataka Goods and Services Tax Act/Central Goods and Services Tax Act, 2017 [for short, ‘the Act’] and Section 20 of the Integrated Goods and Services Tax Act, 2017. Sri E I Sanmathi, the learned counsel for HC-KAR

CNR: KAHC010477012026 NC: 2026:KHC:37369 the petitioner, submits the following in support of the petitioner’s relief.  The petitioner's grievance with the proceedings commenced with [i] the Intimation in Form GST DRC -1A dated 25.09.2025 (Annexure – A), [ii] the Show Cause Notice in Form GST DRC-01 dated 30.09.2025 [Annexure – C] and [iii] the Order in Form GST DRC-07 corresponding to the Adjudication Order dated 31.12.2025 [Annexure B] under Section 73(5) of the Act, but by inadvertence the petitioner has not mentioned this order in the prayer column.  The petitioner could not respond to either the Intimation in Form GST DRC-01A dated 25.09.2025 [Annexure – A] or the Show Cause Notice in Form GST DRC-01 [Annexure – C] because the petitioner's wife, a 37-year-old person who was suffering from HC-KAR

CNR: KAHC010477012026 NC: 2026:KHC:37369 right knee osteoarthritis secondary to rheumatoid arthritis, had to undergo surgery for knee replacement and that she was under constant medical care during the entire year 2025 with the surgery being in January 2026.  The petitioner has produced Medical Certificate to justify the same.

Smt. Jyothi M Maradi, the learned High Court Government Pleader, points out that the proceedings are initiated because of a mismatch between the turnover in Form GSTR-3B and Form GSTR-1 and that if the petitioner cannot produce reconciliation with all the documentary proof, the petitioner's response and participation in the proceedings, even if restored, would be of no consequence. In reply, Sri E I Sanmathi submits that the petitioner will file reconciliation with HC-KAR

CNR: KAHC010477012026 NC: 2026:KHC:37369 all the documentary proof. In consideration of these submissions, the following. ORDER [A] The petition is allowed in-part. [B] The Adjudication Order dated 31.12.2025 [Annexure-B] by the first respondent is quashed restoring the proceedings for reconsideration. [C] The petitioner shall file Reply to the Show Cause Notice in Form GST DRC- 01 dated 30.09.2025 [Annexure – C] with all the documents with the first respondent by 05.10.2026 without waiting for a separate notice. (B M SHYAM PRASAD) JUDGE AN/-