Tvl.Jeyam Steel Industries vs. The State Tax Officer (Fac)
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The petitioner, Tvl. Jeyam Steel Industries, represented by its Proprietor G. Namasivayam, filed a writ petition challenging an order dated 30.10.2025 passed by the respondent, The State Tax Officer (FAC), Kulithalai Assessment Circle, Karur District. This order was for the assessment year 2021-22 and was preceded by a show cause notice dated 30.08.2025. The petitioner also received reminders on 03.10.2025 and 10.10.2025, which called for a reply and a personal hearing. However, the petitioner neither filed a reply nor appeared for the personal hearings, leading to the impugned order being passed. During the court hearing, the petitioner expressed willingness to pre-deposit 25% of the disputed tax amount.
Held
The Court quashed the impugned order dated 30.10.2025 passed by the respondent. The case was remitted back to the respondent for passing a fresh order, subject to the petitioner depositing 25% of the disputed tax in cash from their electronic cash register within thirty days of receiving a copy of the order. Additionally, the petitioner must file a reply to the show cause notice dated 30.08.2025, along with supporting documents, within the same period, treating the impugned order as an addendum to the show cause notice. If these conditions are met, the respondent shall pass a final order on merits expeditiously, preferably within three months of the reply and pre-deposit. The attachment of the petitioner's bank account, if any, shall stand automatically vacated upon compliance. The Court clarified that the bank attachment would be lifted only if the 25% deposit is made and the petitioner has no other arrears for different tax periods, excluding the amount under the impugned order. If the petitioner fails to comply, the respondent is at liberty to proceed for recovery as if the writ petition was dismissed. The respondent must issue due notice before passing any further order.
Key Issues
1. Whether the impugned order dated 30.10.2025, passed by the respondent, is liable to be quashed, considering the petitioner's failure to respond to the show cause notice and attend personal hearings. Petitioner's Contention: The petitioner argued that they are willing to pre-deposit 25% of the disputed tax amount as a condition for de novo adjudication. They made an endorsement in the court bundle to this effect. Respondent's Contention: The respondent, represented by the Special Government Pleader, took notice of the petition. No specific arguments were recorded for the respondent regarding the merits of the case, other than acknowledging the petitioner's submission.
Sections Cited
GST DRC-01
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Before: and
Mr.R.Parthiban, learned Special Government Pleader, takes notice for the respondent. 1/6 https://www.mhc.tn.gov.in/judis
By consent, this writ petition is disposed of at the time of admission after hearing the learned counsel for the petitioner and the learned Special Government Pleader for the respondent. 3.This writ petition has been filed challenging the impugned order passed
by the respondent
bearing
Ref.No.GSTIN 33APQPN9007F1ZR/2021-2022 dated 30.10.2025, for the assessment year 2021-22, which was preceded by a show cause notice in Form GST DRC-01 dated 30.08.2025. 4.The petitioner was also issued with reminders on 03.10.2025 and 10.10.2025, which called upon the petitioner to file a reply and to appear for a personal hearing. The Petitioner however neither filed any reply nor appeared for personal hearings. Thus, the impugned order has been passed. 5.When the matter is taken up for hearing today, the learned counsel for the petitioner submits that the petitioner is willing to pre-deposit 25% of the disputed tax as a condition for de novo adjudication and has also made an endorsement to that effect in the Court Bundle, which reads as under:- 2/6 https://www.mhc.tn.gov.in/judis “I submit that the petitioner is ready to pay 25% of the disputed tax amount.” 6.Recording the same, the impugned order passed by the respondent bearing Ref.No.GSTIN:33APQPN9007F1ZR/2021-2022 dated 30.10.2025 is hereby quashed and the case is remitted back to the respondent to pass a fresh order subject to the petitioner depositing 25% of the disputed tax in cash from the petitioner's electronic cash register within a period of thirty days from the date of receipt of a copy of this order. 7.Within such time, the petitioner shall also file a reply to the show cause notice in GST DRC-01 dated 30.08.2025 together with requisite documents to substantiate the case by treating the impugned order dated 30.10.2025 as an addendum to the show cause notice dated 30.08.2025. 8.In case, the petitioner complies with the above stipulations, the respondent shall proceed to pass a final order on merits and in accordance with law as expeditiously as possible, preferably, within a period of three months of such reply/pre-deposit. Subject to the petitioner complying with the above stipulations, the attachment of the bank account of the petitioner, if any, shall also stand automatically vacated. 3/6 https://www.mhc.tn.gov.in/judis
It is made clear that the bank attachment shall be lifted subject to the deposit of 25% of the disputed tax as ordered above and the petitioner not being in arrears of any other amount for any other tax period barring the amount demanded under the impugned order. 10.In case, the petitioner fails to comply with any of the stipulations, the respondent is at liberty to proceed against the petitioner to recover the tax in accordance with law as if this writ petition was dismissed in limine today. 11.Needless to state, before passing any such order, the respondent shall issue due notice on the petitioner. 12.This Writ Petition stands disposed of with the above observations. No costs. Consequently, connected Miscellaneous Petitions are closed. Index : Yes / No 07.08.2026 Internet : Yes / No mm 4/6 https://www.mhc.tn.gov.in/judis To The State Tax Officer (FAC), Kulithalai Assessment Circle Karur District 5/6 https://www.mhc.tn.gov.in/judis C.SARAVANAN, J.
mm
2026 6/6 https://www.mhc.tn.gov.in/judis
Reproduced from the public record of the Madras High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.