M/S Infomart (INDIA) Private Limited vs. Asst Commissioner Of Commercial Taxes

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WP/37779/2025HC KarnatakaGSTCNR KAHC01081540202515 December 2025Bench: S.R.KRISHNA KUMAR6 pages
For Petitioner: SRI. Y.C. SHIVAKUMAR, ADVOCATEFor Respondent: SRI. K. HEMA KUMAR, AGA

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Cause title — parties, addresses and appearances
- 1 - HC-KAR NC: 2025:KHC:53306 WP No. 37779 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 15TH DAY OF DECEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 37779 OF 2025 (T-RES) BETWEEN: M/S INFOMART (INDIA) PRIVATE LIMITED, NO.99, INFOMART TECH PARK, 5TH CROSS, 5TH BLOCK, KORAMANGALA, BENGALURU – 560 095. (A PRIVATE LTD. COMPANY REPRESENTED BY DIRECTOR SMT. ANJALI AGARWAL, W/O SRI DEVESH AGARWAL, AGED ABOUT 58 YEARS) …PETITIONER (BY SRI. Y.C. SHIVAKUMAR, ADVOCATE) AND: 1. ASST COMMISSIONER OF COMMERCIAL TAXES (AUDIT)-4.8, DGSTO-4, CABIN NO.09, 5TH FLOOR, BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, KORAMANGALA, BENGALURU – 560 095. 2. JOINT COMMISSIONER OF COMMERCIAL TAXES (APPEALS)-4, NO.640, 6TH FLOOR, BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, KORAMANGALA, BENGALURU – 560 095. …RESPONDENTS (BY SRI. K. HEMA KUMAR, AGA) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI FOR QUASHING THE EX-PARTE ORDER UNDER SECTION 73 OF THE CGST ACT/KGST ACT., 2017 READ WITH Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:53306 WP No. 37779 of 2025 SECTION 20 OF IGST ACT., 2017 BEARING FILE NO.ACCT(AUDIT)- 4.8/DGSTO-04/73/24-25 (T.NO.113/24-25), DATED 01-08-2024, AS AT PASSED BY THE RESPONDENT-1 HEREIN, ANNEXURE-A. AND TO RELEGATE THE MATTER TO THE LEVEL OF SHOW CAUSE NOTICE AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

ORAL ORDER

In this petition, petitioner seeks for the following reliefs:- “A. To issue a Writ of Certiorari for quashing the ex-parte “Order under Section 73 of the CGST Act / KGST Act; 2017 read with Section 20 of the IGST Act; 2017” bearing file No.ACCT(Audit)-4.8/DGSTO-04/73/24-25 (T.No.113/24-25), dated 01.08.2024, passed by the Respondent No.1 herein, as at Annexure-A; and to relegate the matter to the level of show cause notice; and B. In the alternative, to issue a Writ of Certiorari for quashing the ‘Form GST APL-04, - Order of Appeal Rejection, bearing No.GST.AP.514/2025-26, Order No.ZD290925133041H, dated 12.09.2025, passed by the Joint Commissioner of Commercial Taxes (Appeals)-4, Bengaluru, the Respondent-2 herein, as at Annexure-B. C. Grant any other relief that this Hon’ble Court deems fit in the facts and circumstances of the case including costs, in the interest of justice and equity.” HC-KAR NC: 2025:KHC:53306

2.

Heard learned counsel for the petitioner and learned AGA for the respondents and perused the material on record.

3.

A perusal of material on record will indicate that, the 1st respondent issued a show-cause notice dated 02.04.2024 under Section 73(1) of the CGST/KGST Act, 2017. Since the petitioner did not submit his reply to the said show-cause notice, the 1st respondent proceeded to pass the impugned order dated 01.08.2024 under Section 73 of the KGST Act, 2017 confirming the total demand of Rs.3,32,848/- including the tax, interest and penalty.

4.

Learned counsel for the petitioner submits that notices were served upon the petitioner were handed over to the Chartered Accountants by name M/s. Keshav & Co., for suitable reply. But the concerned Chartered Accountant, due to certain health issues at home, both to himself and to his child, could not submit replies/ documents to the show-cause notice dated 02.04.2024 and resultantly could not contest the proceedings. Pursuant to issuance of recovery notices, the petitioner filed an appeal on 10.09.2025 which was dismissed as barred by limitation vide HC-KAR NC: 2025:KHC:53306 impugned order dated 12.09.2025. It is submitted that since the GST Appellate Tribunal has not been constituted as on today, the petitioner has no option but to approach this Court by way of the present petition interalia contending that the inability and omission on the part of the petitioner to submit a reply to the pre-intimation notice and show-cause notice and contest the proceedings was due to bonafide reasons, unavoidable circumstances and sufficient cause and submits that if one more opportunity is provided, by setting aside the impugned order, the petitioner would submit a reply to the show-cause notice and contest the proceedings.

6.

Per contra, learned AGA for the respondents submits that there is no merit in the petition and the same is liable to be dismissed.

7.

Under these circumstances, having regard to the specific assertion on the part of the petitioner that his inability and omission to submit replies and contest the proceedings was due to bonafide reasons, unavoidable circumstances and sufficient cause, I deem it just and appropriate to adopt a justice oriented approach and provide one more opportunity to the petitioner by setting aside HC-KAR NC: 2025:KHC:53306 the impugned order dated 01.08.2024 at Annexure-A and Order-in- Appeal dated 12.09.2025 at Annexure-B and remitting the matter back to the 1st respondent for reconsideration of the matter afresh in accordance with law from the stage of petitioner submitting reply to the impugned show-cause notice dated 02.04.2024. 9. In the result, I pass the following: ORDER

(i) The petition is hereby allowed.

(ii) The impugned order dated 01.08.2024 passed by the 1st respondent under Section 73 of the KGST/CGST Act, 2017 at Annexure – A as well as impugned order dated 12.09.2025 at Annexure-B passed by the 2nd respondent under Section 107(11) of the KGST/CGST Act, 2017 are hereby set aside.

(iii) The matter is remitted back to the 1st respondent for reconsideration afresh in accordance with law from the stage of petitioner submitting its reply to the notice dated 02.04.2024. (iv) The petitioner is directed to appear before the 1st respondent on 02.02.2026 without awaiting further notice from the 1st respondent. HC-KAR NC: 2025:KHC:53306 (v) The liberty is reserved in favour of the petitioner to submit replies, documents etc., which shall be considered by the first respondent who shall provide sufficient and reasonable opportunity to the petitioner and hear them and proceed further in accordance with law.

(vi) In the event, the Petitioner does not appear before the 1st respondent on 02.02.2026 as stated supra, present order shall stand automatically recalled without further orders. (S.R.KRISHNA KUMAR) JUDGE

MDS List No.: 2 Sl No.: 16

Reproduced from the public record of the Karnataka High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.