M/S F K Industries vs. Assist. Commissioner Of Commercial Tax

To issue a writ of Certiorari to quash the impugned demand order ACCT/LGSTO-175/TMK/Adj-04/25-26, dated 11.07.2025 at ANNEXURE-A, passed by the Respondent in which it was determined that the tax demand was Rs.18,216/-, the interest amount was Rs.17,424/- and the penalty was Rs.18,216/-, resulting in a total demand of Rs.53,856/-, stating the petitioner had fraudulently accessed input tax credit of August 2018-19. 2. To direct the Respondent No.1 Assistant Commissioner not to take any coercive steps in respect of the petitioner.

Pass any other order as this Hon’ble Court deems fit in the interest of justice and equity.”

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

Learned counsel for the petitioner submits that the present petition may be disposed of reserving liberty in favour of the petitioner to prefer statutory appeal under Section 107 of the HC-KAR NC: 2025:KHC:42600 CGST/KGST Act, before the Appellate Authority within a period of six weeks from today. It is further submitted that before the Appellate Authority, the appellant would deposit 10% of the tax amount and the period between the date of filing the present petition i.e.,10.08.2025, till today, may be excluded under Section 14 of the Limitation Act, for the purpose of limitation and filing an appeal before the Appellate Authority.

The said submission is placed on record.

In view of the aforesaid facts and circumstances, the petition stands disposed of reserving liberty in favour of the petitioner to file an appeal before the Appellate Authority, in accordance with law. If such an appeal is filed before the Appellate Authority within a period of six weeks from today and by depositing 10% of the tax amount in terms of the impugned order, the period from the date of filing the present petition i.e., 10.08.2025, till today, shall stand excluded under Section 14 of the Limitation Act for the purpose of computing period of limitation. It is further directed that if the petitioner files an appeal within a period of six weeks from today, the Appellate Authority shall dispose of the appeal on merits HC-KAR NC: 2025:KHC:42600 without reference to the period of limitation, which stands answered in favour of the petitioner by this order.

Subject to the aforesaid observations and directions, the petition stands disposed of. (S.R.KRISHNA KUMAR) JUDGE