Pohtireddy Venkata Reddy vs. Assistant Commissioner
Held
The Court set aside the composite assessment order, holding that a single show-cause notice or assessment order cannot be passed for more than one tax period or financial year. It remanded the matter, allowing the respondents to initiate fresh, separate proceedings for each assessment year, conditional on the petitioner depositing 20% of the disputed tax.
Facts
The petitioner challenged a composite assessment order and show cause notice issued under Section 74 of the GST Act for four financial years (2021-22 to 2024-25), arguing that clubbing multiple years into a single proceeding was illegal, arbitrary, and violated natural justice. The impugned order also led to the attachment of the petitioner's bank account.
Key Issues
Whether a single show-cause notice or a composite assessment order can be issued under Sections 73 and 74 of the GST Act for multiple financial years, or if separate proceedings are required for each assessment year.
Sections Cited
Section 73, Section 74
AI-generated summary — verify with the full judgment below
APHC010220862026
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3529] TUESDAY,THE TWENTY EIGHTH DAY OF APRIL TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 11171/2026 Between:
POHTIREDDY VENKATA REDDY, S/O VEERAYYA (VEERA REDDY), AGED ABOUT 65 YEARS
R/O D.NO.11/118,MAIN ROAD, YERRAGONDAPALEM, PRAKASAM DISTRICT -523 327
...PETITIONER AND 1. ASSISTANT COMMISSIONER, MARKAPUR CIRCLE, NELLORE DIVISION, MARKAPUR-523 316
ASSISTANT COMMISSIONER ST, OFFICE OF ADDITIONAL COMMISSIONER (ST), REGIONAL GST
AUDIT AND ENFORCEMENT OFFICE, TIRUPATI - 517 502
ADDITIONAL COMMISSIONER ST, REGIONAL GST AUDIT AND ENFORCEMENT OFFICE, TIRUPATI - 517 502
THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, REVENUE (CT) DEPT., STATE SECRETARIAT, VELAGAPUDI, AMARAVATHI- 522 241
UNION OF INDIA, REP. BY ITS SECRETARY, GOVERNMENT OF INDIA, MINISTRY OF FINANCE, 3RD FLOOR, JEEVAN DEEP BUILDING, SANSAD MARG, NEW DELHI - 110 001. 2
THE BRANCH MANAGER, YERRAGONDAPALEM BRANCH, STATE BANK OF INDIA, YE
The judgment continues below.
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