M/S Rama Enterprises vs. The Union Of INDIA
Held
The High Court held that clubbing multiple tax periods/financial years in a single show cause notice issued under Section 73/74 of the CGST/KGST Act is illegal and impermissible. Consequently, the impugned show cause notices and subsequent proceedings were quashed.
Facts
The petitioner challenged adjudication levies and demands made by the GST authorities. The core issue was the clubbing of multiple tax periods/financial years in a single show cause notice.
Key Issues
Whether clubbing multiple tax periods/financial years in a single show cause notice is permissible under the CGST/KGST Act. Whether Section 16(2)(c) of the CGST/KGST Act is unconstitutional.
Sections Cited
Section 73, Section 74, Section 16(2)(c)
AI-generated summary — verify with the full judgment below
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HC-KAR NC: 2025:KHC:54576 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF DECEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 37619 OF 2025 (T-RES) BETWEEN:
M/S RAMA ENTERPRISES 2ND FLOOR, NO. 2, SURABHI SAHAKARI SADANA 13TH CROSS ROAD, BANASHANKARI STAGE-2 BENGALURU-560 070. (REPRESENTED BY SHRI. RAMA REDDY DEVARAJ, PROPRIETOR AGED ABOUT 50 YEARS)
IT IS A PROPRIETARY CONCERN …PETITIONER (BY SRI. K.S.NAVEEN KUMAR AND SRI. DAKSHINA MURTHY R., ADVOCATE)
AND:
THE UNION OF INDIA THROUGH ITS SECRETARY, (REVENUE) MINISTRY OF FINANCE, DEPARTMENT OF REVENUE GOVERNMENT OF INDIA, NORTH BLOCK NEW DELHI - 110 001. 2. THE ASSISTANT COMMISSIONER OF CENTRAL TAX, DIVISION-5, BENGALURU WEST COMMISSIONERATE 1ST FLOOR, TTMC COMPLEX, BMTC BUS STAND BANASHANKARI, B M Location: High Court of Karnataka HC-KAR NC: 2025:KHC:54576 BENGALURU-560 070. 3. THE ASSISTANT COMMISSIONER OF CENTRAL TAX MYSORE AUDIT COMM
The judgment continues below.
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