M/S. Pharmatech Air Solutions vs. The Assistant Commissioner (State Taxes)

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WP/15025/2025HC Andhra PradeshGSTCNR APHC01029971202524 June 2025Bench: R RAGHUNANDAN RAO,SUMATHI JAGADAM7 pages
For Petitioner: SRINIVASA RAO KUDUPUDIFor Respondent: ADDITIONAL SOLICITOR GENERAL, OF INDIA

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Cause title — parties, addresses and appearances
r.I...,.,L''/ i/ APHCO10299712O25 E#E] EHIHE lN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATl (special Original Jurisdiction) WEDNESDAY, THE TWENTY FIFTH DAY OF JUNE TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO AND THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 15025 OF 2025 Between: M/s. Pharmatech Air Solutions, Rep. by its Proprietor, Sri M. Suresh Kumar H.NO.5T67/A/2/7, L.B. Nagar, Mangalagiri -522503 ,Guntur District, Andhra Pradesh .I.Petitioner AND 1. The Assistant Commissioner State Taxes, Mangalagiri circle, Mangalagiri Guntur District, Andhra Pradesh 2. State ofAndhra Pradesh, rep. by its Principal Secretary to Government, Revenue (CT-lI) Department, Secretariat, Velagapudi, Amaravathi, Guntur District. 3. The Union of India, Rep. by its Secretary (Finance) Ministry of Finance, North Block, New Delhi 110001 ...Respondents 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 to issue a Writ of Mandamus or any other appropriate writ`or order or direction declaring the action of the lst Respondent in issuing assessment order dated 16.7.2022 for the period 2018-19 under the Goods and Service Tax Act, 2017 in Form DRC -07 without affixing the signatures on the assessment orders, summary orders or the show cause notice, as illegal, i arbI'trary, contrary to law and in gross violation of princI'PleS Of natural justice and consequently direct the lst Respondent to reassess the petI-tl'Oner under Section 73 of the Act I'n the interest of justice. IANO:1 OF 2025 petitI'On under Section 151 CPC praying that jn the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to grant stay of recovery of the disputed demand pursuant to the impugned assessment order dated 16.7.2022 passed by the lst Respondent for the period 2018-19 under the Goods and service Tax Act, 2017, pending disposal of the writ petl'tion as otherwise the petitioner will be put to severe loss and hardship. Counsel for the petitioner: SRINIVASA RAO KUDUPUDI counsel for the Respondent Mos. 1 and 2.I GP FOR COMMERCIAL TAX counsel for the Respondent No. 3: ADDITIONAL SOLICITOR GENERAL OF INDIA

The Court made the following order: ife*``i*`- I

APHCO10299712025 EE'E EiTE:=¥Ei: e :. •gr¥±,. IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Juri iction) WEDNE AY, THE TWENTY FIFTH DAY OF JUNE TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHuNANDAN RAO THE'.HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 15025/2025 [3541] Betwe.en: 1.M/S. PHARMATEC[l AIR SOLUTIONS, REP. BY ITS PRC)PRIETC)R, SRI M. SURESH KUMAR H.NO.5-67/A/2/7, L.B. NAGAR, MANGALAGIRl -522503 GUNTUR DISTRICT, ANDHRA PRADESH ...PETITIONER AND 1.THE ASSISTANT COMMISSIONER STATE TAXES, MANGALAGIRI CIRCLE, MANGALAGIRI GUNTUR DISTRICT, ANDHRA PRADESH 2.STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY TO GOVERNMENT, REVENUE (CT-ll) DEPARTMENT, SECRETARIAT, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. 3.THE UNION OF INDIA, REP. BY ITS SECRETARY (FINANCE) MINISTRY OF FINANCE, NORTH BLOCK, NEW DELHI 110001 ...RESPONDENT(S): Petition under Article 226 c,i the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased tomay be pleased to issue a writ of Mandamus or any other appropriate writ or order or direction declaring the action of the lst Respondent in issuing assessment order dated 16.7.2022 for the Period 2018-19 under the Goods and Service Tax Act, 2017 in Form DRC -07 without affixing the signatures Qn the assessment Orders, Summary Orders Or t`he show cause notice, as illegal, arbitrary, contrary to law and in gross violation of principles of natural justice and consequently direct the let ReSpc,ndent to reassess the petitioner under section 73 of the Act in the interest QfjuStiCe, and Pass . i ¢¢;+£irty lANO: 1 OF2025 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 may be pleased to grant stay of recovery of the disputed demand pursuant to the impugned assessment order dated 16.7.2022 passed by the 1®* Respondent for the period 2018-19 under the Goods and Service Tax Act, 2017, pending disposal Of the Writ Petition as otherwise the Petitioner will be put to severe loss and hardship. Counsel for the Petitioner: 1.SRINIVASA RAO KUDUPUDI counsel for the Respondent(S):

1.

GP FOR COMMERCIAL TAX The Court made the following Order: /perHor7Jb/e Sr,a I/usf,'ce R. Raghur,ar7C}ar, Rao, The petitioner was served With an~aSSeSSment Order, in FORM GST DRC -07, dated 16.07.2022, passed by the lSt respondent, under the Goods and services Tax Act, 2017 [for short "the GST Act"], for the tax period 2018-2019. This assessment order of the lSt respondent has been challenged by the petitioner in this Writ Petition.

2.

This assessment order, in FORM GST DRC -07, is challenged by the petitioner, on various grounds, including the ground that the said proceedings did not contain a DIN number.

3.

Learned Government Pleader for Commercial Tax, on instructions, submits that.there is no DIN number on the impugned assessment order. \~ \~ I.,

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4.

The question of the effect of nan-inclusion of DIN number on proceedings, under the G.S.T. Act, came to be considered by the HonJble supreme court -ln the case of pradeep GQyaI Vs. Union of India & Ors1. The Honjble Supreme Court, after noticing the provisions of the Act and the circular issued by the Central Board of Indirect Taxe`s and Customs /here,-n referred fo as ffC.B./. C. JJ,, had held that ah Order, Which does not COnta'In a DIN number would be r,or,-esf and invalid.

5.

A Division Bench of this Court in the case of M/s. a/usfer Enterprises Vs. The Deputy Assistant Commissioner (ST)-2, Kadapa 2, on the basis of the circular; dated 23.12.2019, bearing No.128/47/2019-GST, issued by the C.B,I.C., had held that non-mention of a DIN number would mitigate against the validity of such proceedings. Another Division Bench of th-ls court `ln the case of Sai IVIanikanta EIectricaI Contractors Vs. The Deputy Commissioner, Special Circle, Visakhapatnam3 ] had also held that non-mention of a DIN number would require the order to be Set aside.

6.

In view of the aforesaid judgments and the circular issued by the C.B,I.a., the non-mention of a DIN number in the order, which was uploaded in the portal, requires the impugned Order tO be Set aside.

7.

Accordingly, this Writ Petition is disposed of, setting aside the impugned proceedings, dated 16.07.2022, issued by the lst respondent, with 12o22 (63) G.S.T.L. 286 (SC) 2 2024 (88) G.S.T.L.179 (A.P.) 3 2024 (88) G,S.T.L. 303 (A.P.) /.,` ¢ W.P_No.15O25 of2O25 a liberty to the lst respondent to conduct fresh assessment, after giving a notice to the petitioner and assigning a DIN number tO the Said Order. Though the impugned order is under challenge has been passed on 16.07.2022, this court is setting aside the said order in v-lew of the fact that the registration of the petitioner hac] been cancelled on 18.05.2021 itself and thereafter, notice Of the impugned assessment order was sent by way of post-lng the same on the portal and there was no opportunity for the petitioner to verify the portal thereafter.

8.

The period from the date Of the impugned assessment Order, till the date of receipt of this order shall be excluded for the purposes of limitation. There shall be nO Order aS tO COStS. As a sequel, pending miscellaneous applications, if any, Shall Stand closed. //// i_ a. H_i_L_a_N+^= B # ASS\S®TuhN-T±ap\.STRL*R veSECTte% OFF\CER To,

1.

The Assistant Commissioner State Taxes, Mangalagiri circle, Mangalagiri Guntur District, Andhra Pradesh

2.

The Principal Secretary to Government, Revenue (CT-ll) Department, state of Andhra Pradesh, Secretariat, Velagapudi, Amaravathi, Guntur District.

3.

The Secretary (Finance), Union of India, Ministry of Finance, North BIock, New Delhi 110OO1

4.

One CC to Sri. Srinivasa Rao Kudupudi Advocate [OPUC]

5.

One CC to Additional Solicitor General of India [OPUC]

6.

Two CCs to GP for Commercial Tax, High Court of Andhra Pradesh [OUT]

7.

Three CD Copies gSC

HIGH COURT DATED:25/06/2025 ORDER WP 1,5025/2025 DISPOSING THE WP WITHOUT COSTS &nng*t+-

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.