BharatTaxGST

Mr. Praveen Bijjawari Narayanaswamy vs. State Of Karnataka

Original PDF →
WP/11471/2025HC KarnatakaGSTCNR KAHC01024676202517 April 2025Bench: S.R.KRISHNA KUMAR5 pages
For Petitioner: SRI ANIL KUMAR B, ADVOCATEFor Respondent: SRI HEMAKUMAR.K, ADDITIONAL GOVERNMENT ADVOCATE

No AI summary yet for this judgment.

Cause title — parties, addresses and appearances
- 1 - NC: 2025:KHC:15983 WP No. 11471 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION No.11471 OF 2025 (T-RES) BETWEEN: MR. PRAVEEN BIJJAWARI NARAYANASWAMY AGED ABOUT 49 YEARS NO.574/80/1/A-2-102, HRC ANANYA APTS JUDICIAL LAYOUT, ALLALSANDRA YELAHANKA NEW TOWN BENGALURU URBAN – 560 065 …PETITIONER (BY SRI ANIL KUMAR B, ADVOCATE) AND: 1. STATE OF KARNATAKA, THROUGH ITS PRINCIPAL SECRETARY, FINANCE DEPARTMENT, VIDHANA SOUDHA, BENGALURU-560 001 2. THE COMMISSIONER OF COMMERCIAL TAXES IN KARNATAKA, “VANIJYA THERIGE KARYALAYA”, GANDHINAGAR, BENGALURU-560 009 3. THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES (ENF)-13, SOUTH ZONE, 2ND FLOOR, V.T.K-2 BUILDING, RAJENDRANAGARA, KORAMANGALA, BENGALURU-560 047 4. THE ASSISTANT COMMISSIONER OF COMMERCIAL Digitally signed by MALATESH K C Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:15983 WP No. 11471 of 2025 TAXES (AUDIT-5.13), DGSTO-5, B-BLOCK, ROOM NO.608, 6TH FLOOR, V.T.K. BUILDING, RAJENDRANAGARA, KORAMANGALA, BENGALURU-560 047 …RESPONDENTS (BY SRI HEMAKUMAR.K, ADDITIONAL GOVERNMENT ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDER NO.108 DATED 07.08.2024 AND SUMMARY OF THE ORDER IN FORM GST DRC-07 REFERENCE NO.ZD2908240838101 DATED 23.08.2024 PASSED BY RESPONDENT NO.4 VIDE ANNEXURE-A TO THE WRIT PETITION AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, 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:-

“Quash the order No.108 dated 07.08.2024 and summary of the order in FORM GST DRC-07 reference NO.ZD2908240838101 dated 23.08.2024 passed by Respondent No.4 vide Annexure-A to the Writ Petition”.

2.

Heard learned counsel for the petitioner and learned AGA for the respondents and perused the material on record.

3.

A perusal of the material on record will indicate that pursuant to the lands of the petitioner being acquired by the State/KIADB under the provisions of the KIAD Act, the NC: 2025:KHC:15983 petitioner received compensation under Section 29(2) of the KIAD Act in terms of Agreements, documents etc., executed between the petitioner and KIADB. Subsequently, the respondent issued the show cause notice at Annexure-G dated 25.01.2024 calling upon the petitioner to pay GST on the solatium component in the compensation received by the petitioner, who is before this Court by way of the present petition.

4.

The issue involved in the present petition as to whether solatium received by the petitioner is exigible/ amenable to GST is directly and squarely covered by the order dated 10.09.2024 passed by this Court in ‘Smt. Asha R., Vs. The Assistant Commissioner of Commercial Taxes and Anr’ passed in W.P.No.2552/2024 and connected matters, wherein it is held as under:-

11.

In the result, I pass the following:- ORDER (i) W.P.No.2552/2024, W.P.No.17524/2024, W.P.No.10838/2024, W.P.No.4571/2024 and W.P.No.5858/2024 are hereby allowed. NC: 2025:KHC:15983 (ii) It is hereby declared that the compensation paid in favour of the petitioners towards acquisition of their lands by the State/KIADB under the head ‘Solatium’ is not exigible/ amenable to levy of GST under the provisions of CGST/KGST Act, 2017. (iii) The impugned Notices at Annexures-A and A1 both dated 30.10.2023 issued in W.P.No.2552/2024 and all consequential proceedings are hereby quashed. (iv) The impugned Orders at Annexures-A and A1 both dated 20.03.2024 and impugned Notices at Annexures-B and B1 both dated 09.10.2023 issued in W.P.No.17524/2024 and all consequential proceedings are hereby quashed. (v) The impugned Order at Annexure-A dated 30.12.2023 and Notice at Annexure-C dated 26.09.2023 issued in W.P.No.10838/2024 and all consequential proceedings are hereby quashed. (vi) The impugned Order at Annexure-A dated 04.12.2023 and Notice at Annexure-F dated 26.09.2023 issued in W.P.No.4571/2024 and all consequential proceedings are hereby quashed. (vii) The impugned Order at Annexure-A dated 20.12.2023 and show cause Notice at Annexure-F NC: 2025:KHC:15983 dated 26.09.2023 issued in W.P.No.5858/2024 and all consequential proceedings are hereby quashed.

5.

In view of the aforesaid facts and circumstances and the judgment of this Court referred to supra, I am of the view that the present petition deserves to be allowed and the show cause notice at Annexure-G dated 25.01.2024 and all consequential proceedings deserve to be quashed.

6.

In the result, I pass the following:- ORDER (i) Petition is hereby allowed. (ii) The show cause notice Annexure-G dated 25.01.2024 and all consequential proceedings pursuant thereto are hereby quashed. (S.R.KRISHNA KUMAR) JUDGE

kcm List No.: 1 Sl No.: 28

Reproduced from the public record of the Karnataka High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.