A. Apma Kaja vs. The Deputy State Tax Officer - 1

Held

The Court held that the petitioner is liable to pay interest on the belated payment of tax. The reasoning was based on the admitted position that the petitioner had paid the tax belatedly during the period in dispute. Despite the impugned order being passed ex parte, the Court found no reason to interfere because the belated payment of tax was an admitted fact. The Court observed that since the petitioner belatedly paid the tax, they are liable to pay interest on that belated payment. Therefore, the writ petition was dismissed. The Court did not expressly leave any issue undecided.

Facts

The petitioner, A. Apma Kaja, filed a writ petition before the Madurai Bench of the Madras High Court challenging an order dated December 17, 2025, passed by the Deputy State Tax Officer-1, Sengottai Assessment Circle. The impugned order, concerning the tax period 2021-22, imposed late fee and interest on the petitioner for belatedly reporting invoices and filing returns. The petitioner stated that the late fee had already been paid and argued that no interest should be imposed under Section 50(1) of the GST enactments. The respondent is the Deputy State Tax Officer.

Key Issues

1. Whether the petitioner is liable to pay interest under Section 50(1) of the respective GST enactments when the late fee for belatedly filed returns has already been paid? The petitioner contended that since the late fee was paid, no further interest should be levied. The petitioner argued that the imposition of interest was illegal and a violation of the principles of natural justice, especially as the order was passed ex parte. The respondent, represented by the Government Advocate (Taxes), did not present any specific arguments against the petitioner's claim regarding interest, but the Court's observation indicates an implicit acceptance of the revenue's stance on interest liability for belated tax payment.