Velmurugan vs. The Apellat Deputy Commissioner (GST) (Appeals)

Facts

The petitioner, Velmurugan, filed a writ petition before the Madurai Bench of the Madras High Court challenging an ex-parte order of assessment dated 21.11.2025, passed by the Deputy Commercial Tax Officer / Deputy State Tax Officer – I, Theni – II, under Section 73 of the TNGST Act. The petitioner contended that they had not availed the opportunity to respond to the show cause notice. The petitioner stated they had belatedly uploaded an appeal and paid 10% of the disputed amount. The court considered the petitioner's submission and the fact that 10% of the disputed amount had already been paid.

Held

The Court held that the ex-parte order of assessment dated 21.11.2025, passed under Section 73 of the TNGST Act, should be set aside. The Court reasoned that an opportunity should be granted to the petitioner to present their case, especially since they had belatedly filed an appeal and paid 10% of the disputed amount. The Court directed the petitioner to pay the balance 15% of the disputed tax amount within four weeks of receiving the order's web copy. Upon such payment, the impugned order would stand set aside, and the matter would be remitted back to the respondent for fresh consideration. The petitioner was directed to appear before the respondent, file their reply, and produce supporting documents. The respondent was then to consider these in accordance with the law and pass fresh orders. The Court also ordered that any bank account attachment made pursuant to the impugned order would stand raised. No costs were imposed.

Key Issues

1. Whether the ex-parte order of assessment passed under Section 73 of the TNGST Act is arbitrary and illegal, considering the petitioner's claim of belatedly filing an appeal and paying 10% of the disputed amount? Petitioner's Arguments: The petitioner argued that the ex-parte order was arbitrary and illegal. They submitted that they had belatedly uploaded an appeal and had already paid 10% of the disputed amount. They sought an opportunity to present their case and documents. Revenue's Arguments: The judgment does not record any specific arguments from the respondents (The Appellate Deputy Commissioner (GST)(Appeals) and The Deputy Commercial Tax Officer / Deputy State Tax Officer – I).