K Ravi Chandra Cloth Stores vs. The State Of Andhra Pradesh
Original PDF →Facts
The petitioner received a single assessment order for multiple financial years (2020-21 to 2022-23). The petitioner challenged this order on the grounds that it violated GST provisions and principles of natural justice.
Held
The Court held that a single assessment order cannot be passed for more than one financial year. Consequently, the impugned assessment order was set aside.
Key Issues
Whether a single assessment order can be passed for multiple financial years under the GST Act. Whether such an order violates statutory provisions and principles of natural justice.
Sections Cited
Section 73, Section 74
AI-generated summary — verify with the full judgment below
APHC010596562025
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Juri iction) [3529] WEDNE AY, THE TWELFTH DAY OF NOVEMBER TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 31236/2025 Between:
K RAVI CHANDRA CLOTH STORES, D.NO. 29-83/A, CHERUVU BAZAR, NEAR MAYURI TALKIES, NANDIGAMA, KRISHNA DISTRICT - 521185, REPRESENTED THROUGH ITS SOLE PROPRIETOR, KANDEPU RAVI CHANDRA.
...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETARY, REVENUE (CT),
DEPARTMENT, SECRETARIAT, VELAGAPUDI, GUNTUR DISTRICT, ANDHRA PRADESH - 522503. 2. THE CHIEF COMMISSIONER OF STATE TAXES COMMERCIAL TAXES DEPARTMENT, D. NO. 12-468-4, ADJACENT TO NH-16, SERVICE ROAD, KUNCHANAPALLY, GUNTUR DISTRICT - 522 501, ANDHRA PRADESH.
THE ADDITIONAL COMMISSIONER OF APPEALS, VIJAYAWADA, KRISHNA DISTRICT, ANDHRA PRADESH.
THE DEPUTY ASSISTANT COMMISSIONER STI, NANDIGAMA CIRCLE, NO.L DIVISION, SASANK TOWERS, KRISHNA NAGAR, VIJAYAWADA - 520007. 5. CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS, GST POLICY WING, GOVERNMENT OF INDIA, MINISTRY OF FINANCE, NEW DELHI, REPRESENTED BY ITS COMMISSIONER (GST).
UNION OF INDIA, REPRESENTED BY ITS PRINCIPAL SECRETARY, GOVERNMENT OF INDIA, MINISTRY OF FINANCE, 3RD FLOOR, JEEVAN DEEP BUILDING, SANSAD MARG, NEW DELHI - 110 001. ...RESPONDENT(S): Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue a Writ, Order, or Direction, more particularly one in the nature of a Writ of Mandamus, declaringthe Show Cause Notices dated 20.09.2024 issued by the 4TH Respondent for the Tax Period 2019-20 to 2022-23, and all the consequential proceedings, including passing of the Assessment Orders in Form GST DRC-07 dated 30.01.2025, passed by the 4TH Respondent for the tax periods 2019-20 to 2022-23, as arbitrary, illegal, non-est in law, without juri iction, and in violation of the principles of natural justice and Articles 14, 19(l)(g) and 265 of the Constitution of India and Consequently, set aside the same and pass IA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased Pleased to stay all further proceedings, including any recovery action, pursuant to the impugned Assessment Orders in Form GST DRC-07 dated 30.01.2025, passed by the 4th Respondent for the tax periods 2019-20 to 2022-23, and pass Counsel for the Petitioner:
PHANI VISWANATH CHALLA Counsel for the Respondent(S):
GP FOR COMMERCIAL TAX The Court made the following Order: (per Hon’ble Sri Justice R. Raghunandan Rao)
The petitioner is a registered Company, which has been served with an Order of Assessment, dated 30.01.2025, in FORM GST DRC – 07, passed by the 4th respondent. This Order of Assessment covers the period from 2020-21 to 2022-23. 2. The petitioner, after having raised various grounds of challenge, have sought a direction, on the ground that, a single assessment order passed, for more than one financial year, would be violative of the provisions of Section 73 and Section 74 of the G.S.T. Act, 2017, and consequently, set aside the orders of assessment/appeals.
A Division Bench of this Court, in W.P.No.11028 of 2025 & batch, after considering the said question, had held that, a single show-cause notice or a single composite assessment order, cannot be passed, in relation to more than one tax period of either a month if the assessment is taken up before the due date for filing of the annual return or for more than one year if the due date for filing of annual return has been reached.
Accordingly, this Writ Petition is disposed of, setting aside the impugned order, dated 30.01.2025, leaving it open to the respondents to initiate fresh proceedings, for each assessment year separately.
Needless to say, the period from the date of passing of the impugned order till the date of receipt of this order shall be excluded for the purpose of limitation. There shall be no order as to costs.
As a sequel, pending miscellaneous applications, if any, shall stand closed.
________________________ R. RAGHUNANDAN RAO, J
________________ T.C.D.SEKHAR, J
Date:12.11.2025
MJA THE HON’BLE SRI JUSTICE R. RAGHUNANDAN RAO
AND THE HON’BLE SRI JUSTICE T.C.D.SEKHAR
WRIT PETITION No:31236 of 2025 (per Hon’ble Sri Justice R. Raghunandan Rao)
2025
MJA
Reproduced from the public record of the Andhra Pradesh High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.