M/S Srinivas And Co vs. The Commissioner Of Commercial Taxes - Karnataka High Court, 14 October 2025

Cause title — parties, addresses and appearances

- 1 - HC-KAR NC: 2025:KHC:41026 WP No. 24500 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 14TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 24500 OF 2024 (T-RES) BETWEEN: M/S SRINIVAS AND CO., SY NO.102, YELACHAKERE VILLAGE, NELAMANGALA TALUK AND POST, BENGALURU - 562 123 SINCE CLOSED ITS PRINCIPAL PLACE OF BUSINESS AT ROOM NO.3, DOOR NO.6-1-1064/1, SUNSHINE COMPLEX, KHAIRTABAD, HYDERABAD, TELANGANA STATE - 500 004 REPRESENTED BY ONE OF ITS MANAGING PARTNER SRI B. SRINIVAS, AGED ABOUT 73 YEARS, UNDER REGISTERED INDIAN PARTNERSHIP ACT 1932) ALSO AT R/O 13-06-463/1, ASHOK VIHAR COLONY, SARDAR NAGAR, KARWAN, HYDERABAD, TELANGANA - 500 004 …PETITIONER (BY SRI. UMESH P. E., ADVOCATE) AND: 1. THE COMMISSIONER OF COMMERCIAL TAXES VANIJYA TERIGE KARYALAYA, KALIDASA MARG, GANDHINAGAR, BENGALURU - 560 009 2. THE COMMERCIAL TAX OFFICER LOCAL GST OFFICE-065, 1ST FLOOR, 4TH PHASE, KIADB BUILDING, 14TH CROSS, PEENYA 2ND STAGE, BENGALURU - 560 058 Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:41026 WP No. 24500 of 2024 3. THE STATE OF KARNATAKA REPRESENTED BY THROUGH ITS SECRETARY, DEPARTMENT OF FINANCE, VIDHANA SOUDHA, BANGALORE - 560 001 4. THE PEINCIPAL COMMISSIONER OF CENTRAL TAX BENGALURU ZONE, P B NO.5400, C. R. BUILDING, QUEENS ROAD, BENGALURU - 560 001 …RESPONDENTS (BY SMT. JYOTI M. MARADI, HCGP FOR R1 TO R3; SRI. JEEVAN NEERALGI, ADVOCATE FOR R4) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ADJUDICATION NO. ACCT/LGSTO-065/CTO/ADJ/2023-24 AND CONSEQUENTLY SUMMARY OF THE

ORDER IN FORM DRC-07 BEARING REFERENCE NO. ZD29112300581O, BOTH DATED 06.11.2023 ANNEXURE- 'G' AND 'H', PASSED BY THE COMMERCIAL TAX OFFICER, LGSTO-065, DGSTO-6 BENGALURU THE 2ND RESPONDENT HEREIN, FOR THE TAX PERIODS OF THE FINANCIAL YEAR 2017-18. THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER

In this petition, petitioner seeks for the following reliefs:

"(a) Quashing the adjudication No. ACCT/LGSTO- 065/CTO/ADJ/2023-24 and consequently summary of the order in Form DRC-07 bearing reference No. ZD291123005851O, both dated 06.11.2023 ANNEXURE - 'G' and 'H', passed by the Commercial Tax Officer, LGSTO-065, DGSTO-6, Bengaluru, the 2nd Respondent herein, for the tax periods of the Financial Year 2017-18; HC-KAR NC: 2025:KHC:41026 (b) Grant such other relief as deemed just and necessary in the facts and circumstances of the case, in the interest of equity and justice."

Heard learned counsel for the petitioner and learned HCGP for the respondent and perused the material on record.

A perusal of the material on record will indicate that pursuant to issuance of intimation in GST DRC-01-A dated 02.01.2023, the respondent issued Show Cause Notice dated 16.09.2023 to the petitioner, who did not submit any reply to the same. Under these circumstances, the respondent proceeded to pass the impugned exparte adjudication order dated 06.11.2023 under Section 73(9) of the CGST/KGST Act, aggrieved by which, the petitioner is before this Court by way of the present petition.

It is a specific contention of the petitioner that he did not receive the aforesaid notices, orders etc, and due to bonafide reasons, unavoidable circumstances and sufficient cause, the petitioner was not in a position to submit reply and contest the proceedings and as such, it is necessary that the impugned order dated 06.11.2023 is set aside and the matter be remitted back to the respondent for reconsideration afresh to the stage of the HC-KAR NC: 2025:KHC:41026 petitioner submitting reply to the show cause notice and to proceed further in the matter.

Per contra, learned HCGP for the respondent submits that there is no merit in the petition and that the same is liable to be dismissed.

A perusal of the material on record will indicate that though several contentions have been urged by both sides in support of their respective claims, it is an undisputed fact and a matter of record that the petitioner did not submit any replies to the notices issued by the respondent nor did he participate in the impugned proceedings, which culminated in the impugned exparte adjudication order in the absence of the petitioner. Under these circumstances, in order to provide one more opportunity to the petitioner to submit reply to the show cause notice and contest the proceedings, I deem it just and appropriate to adopt justice oriented approach and set aside the impugned order at Annexure – G dated 06.11.2023 and remit the matter back to the respondent No.2 for reconsideration afresh to the stage of the petitioner submitting reply HC-KAR NC: 2025:KHC:41026 to the show cause notice and contest the proceedings in accordance with law.

In the result, I pass the following: ORDER (i) The petition is allowed. (ii) The impugned order at Annexure-G dated 06.11.2023 passed by the respondent is hereby quashed. (iii) The petitioner shall appear before the concerned respondent on 18.11.2025 without awaiting further notice from the respondent, failing which the present order shall stand recalled automatically, without further reference to the Bench and without further orders. (iv) Liberty is reserved in favour of the petitioner to submit replies, responses, pleadings, documents etc., which shall be considered by the respondent, who shall provide sufficient and reasonable opportunity to the petitioner, hear him and proceed further, in accordance with law. (S.R.KRISHNA KUMAR) JUDGE

MDS List No.: 2 Sl No.: 80