Shri. B M Mallappa vs. The Assistant Commissioner Of Commercial Taxes
Held
The High Court quashed the impugned adjudication orders and recovery notices, restoring the proceedings to the respondent tax authorities. The petitioner was granted a fresh opportunity to submit documents and explain the genuineness of transactions, subject to depositing 10% of the demanded tax.
Facts
The petitioner challenged adjudication orders for the periods 2018-19 and 2019-20, passed under Section 73 of the CGST Act, alleging non-service or inadvertent oversight of Show Cause Notices (SCNs) and intimations on the GST portal. The orders were issued based on the petitioner's failure to respond to alleged short declaration of output turnover.
Key Issues
Whether the adjudication orders passed under Section 73 violated principles of natural justice due to the petitioner's alleged non-receipt or oversight of notices and SCNs, thereby denying an opportunity to explain discrepancies in output turnover.
Sections Cited
Section 73, Section 73(9), Section 79(1)(C)
AI-generated summary — verify with the full judgment below
- 1 - HC-KAR
CNR: KAHC010464582026 NC: 2026:KHC:36137 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 15TH DAY OF JULY, 2026 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 21271 OF 2026 (T-RES) BETWEEN:
SHRI. B M MALLAPPA AGED ABOUT 57 YEARS SON OF SHRI. MALLIKARJUNAPPA, CONTRACTOR BIDARAKERE, HOSDURGA ROAD, BIDARAKERE, CHITRADURGA - 577554. …PETITIONER (BY SRI. Y PRANAY SHARMA.,ADVOCATE) AND:
THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES LOCAL GOODS AND SERVICE TAX OFFICE - 480 C.K. PURA, KELA KOTTE, CHITRADURGA - 577501. 2. THE JOINT COMMISSIONER OF COMMERCIAL TAXES LOCAL GOODS AND SERVICE TAX OFFICE - 480 C.K. PURA, KELA KOTTE, CHITRADURGA - 577501. VANAMALA N Location: HIGH COURT OF KARNATAKA HC-KAR
CNR: KAHC010464582026 NC: 2026:KHC:36137
CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS, REPRESENTED BY ITS CHAIRPERSON, NORTH BLOCK, NEW DELHI-110 001. 4. STATE OF KARNATAKA, REPRESENTED BY SECRETARY FIN
The judgment continues below.
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