Umesh T H vs. The Assistant Commissioner Of Commercial Tax - Karnataka High Court, 21 August 2025

Cause title — parties, addresses and appearances

- 1 - HC-KAR NC: 2025:KHC:32640 WP No. 20451 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF AUGUST, 2025 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 20451 OF 2025 (T-RES) BETWEEN: UMESH T.H CONTRACTOR, AGED ABOUT 37 YEARS, S/O T.D. HANUMANTHARAYAPPA A PROPRIETORSHIP FIRM NAVILAHALLI SWANDENAHALLI POST TUMKUR - 572 102. …PETITIONER (BY SRI. RAVI SHANKAR S.V, ADVOCATE) AND: 1. THE ASSISTANT COMMISSIONER OF COMMERCIAL TAX, OFFICE-175, VANIJYA TERIGE SANKEERNA NEAR SUKRUTHA HOSPITAL, SIDDARMAESHWARA EXTENSION, TUMAKURU - 572 103. 2. THE COMMERCIAL TAX OFFICER OFFICE-175, VANIJYA TERIGE SANKEERNA NEAR SUKRUTHA HOSPITAL, SIDDARMAESHWARA EXTENSION, TUMAKURU - 572 103. …RESPONDENTS (BY SRI. K. HEMA KUMAR, AGA) Digitally signed by NAGAVENI Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:32640 WP No. 20451 of 2025 THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO (I) ISSUE A WRIT OF CERTIORARI QUASHING SHOW CAUSE NOTICE BEARING NO.CTO/LGSTO-175/TMK/DRC-01/23-24 DATED 11.05.2023 ISSUED BY THE RESPONDENT NO. 2 UNDER SEC.73(1), FOR BEING WITHOUT THE AUTHORITY OF LAW. (ANNEXURE- A) AND ETC., THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE M.NAGAPRASANNA

ORAL ORDER The petitioner is before this court calling in question a show cause notice dated 11.05.2023 issued by the respondent under Section 73(1) of the Goods and Services Tax Act, 2017 ('the Act' for short) and all consequential orders that are passed.

Heard Shri Ravi Shankar S.V., learned counsel appearing for the petitioner and Shri K. Hema Kumar, learned Additional Government Advocate appearing for the respondents.

The petitioner is registered to tax and is said to be diligently filing his GST returns. An ASMT-10 notice is issued to HC-KAR NC: 2025:KHC:32640 the petitioner for financial year 2017-2018. The respondent then issues a show cause notice on 11.05.2023 and on 25.08.2023 passes the impugned order without indicating the date and the proceedings which led to passing of the impugned order on certain tax demand under Section 73(9) of the Act. It is this and the subsequent actions that are called in question, on the ground that the order is in violation of principles of natural justice.

The learned counsel appearing for the petitioner would reiterate the grounds urged in the petition, however, would restrict his submission for the present that order was in violation of principles of natural justice.

The learned counsel appearing for the respondents is not in a position to dispute the fact that the petitioner was not afforded an opportunity before passing of the order, as it is admittedly ex-parte.

In that light of the proceedings being ex-parte, I deem it appropriate to obliterate the orders and remit the HC-KAR NC: 2025:KHC:32640 matter back to the hands of the Assistant Commissioner to consider the proceedings, afresh.

For the aforesaid reasons, the following ORDER (i) The writ petition is allowed-in-part.

(ii) The show cause notice bearing NO.CTO/LGSTO-175/TMK/DRC-01/23-24 dated 11.05.2023 and Order-In-Original (OIO) No.CTO/LGSTO-175/TMK T.No.23-24 dated 25.08.2023 stands quashed.

(iii) The matter is remitted back to the hands of respondent No.2 - The Commercial Tax Officer for proceedings afresh on hearing the petitioner.

(iv) The petitioner shall appear before respondent No.2 on 09.09.2025 at 02.30 p.m.

(v) No separate notice need be issued to the petitioner to appear before respondent No.2. (vi) Respondent No.2 is at liberty to regulate the proceedings on such remand on hearing the petitioner. HC-KAR NC: 2025:KHC:32640 (vii) All contentions other than the one considered in the course of this order of both the parties shall remain open.

Ordered accordingly. (M.NAGAPRASANNA) JUDGE

JY List No.: 1 Sl No.: 20 CT: BHK