Aliyar Shahul Hameed vs. Deputy State Tax Officer (St) -I
Held
The Court quashed the impugned order and remitted the case back to the respondent for a fresh adjudication. The petitioner was directed to file a reply to the show cause notice within 30 days.
Facts
The petitioner challenged an order confirming a demand for excess Input Tax Credit (ITC) availed, arguing that they had sufficient ITC in their ledger and no loss to revenue. The petitioner had also reversed the excess ITC before the order was passed.
Key Issues
Whether the demand for excess ITC and consequential interest was justified when the petitioner had sufficient ITC and had reversed the excess amount. Whether principles of natural justice were violated by confirming the demand without considering the petitioner's submissions.
Sections Cited
Section 50
AI-generated summary — verify with the full judgment below
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED: 21.08.2026 CORAM: THE HONOURABLE MR.JUSTICE C.SARAVANAN and W.M.P.(MD) Nos.17954 & 17956 of 2026 Aliyar Shahul Hameed, Proprietor M/s.Supreme Family Shop ... Petitioner Vs
Deputy State Tax Officer (ST) -I, Office of the Assistant Commissioner (ST), Theni-II Assessment Circle, Commercial Taxes Office Complex, SIDCO Industrial Estate / SIDCO Compound Bangalamedu, Madurai Road, Theni, Theni District – 625531. 2. The Assistant Commissioner (ST), Office of the Assistant Commissioner(ST), Theni-II Assessment Circle, Commercial Taxes Office Complex, SIDCO Industrial Estate / SIDCO Compound Bangalamedu, Madurai Road, Theni, Theni District – 625531. ... Respondents PRAYER: Writ Petition filed under Article 226 of the Constitution of India for 1/7 https://www.mhc.tn.gov.in/judis issuance of Writ of Certiorari to call for records pertaining to the impugned order passed by the first respondent vide his proceedings in FORM GST-DRC-07, GSTIN 33CCNPS1249E2ZJ/2021-22 dated 05.12.2025 and quash the s
The judgment continues below.
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