Ms. Suchitra Vardhini Durbhakula vs. Assistant Commissioner Of Central Tax

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WP/27807/2023HC KarnatakaGSTCNR KAHC01064151202322 February 2024Bench: S.R.KRISHNA KUMAR5 pages
For Petitioner: SRI. CHIDANANDA URS B.G., ADVOCATEFor Respondent: SRI. JEEVAN J NEERALGI, ADVOCATE

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Cause title — parties, addresses and appearances
- 1 - NC: 2024:KHC:7492 WP No. 27807 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 22ND DAY OF FEBRUARY, 2024 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 27807 OF 2023 (T-RES) BETWEEN: MS. SUCHITRA VARDHINI DURBHAKULA D/O. G. VENKATESHWARLU, AGED ABOUT 42 YEARS, M/S. SRI. VIVA ENTERPRISES, (A PROPRIETARY CONCERN, PRESENTLY, REGISTERED UNDER CGST/SGST ACT, 2017), NO. 6, SHIVA SANNIDHI, FIRST FLOOR, OPP. VASANATH VALLABHA TEMPLE, VASANTHPURA, NEAR BDA 5TH STAGE, SUBRAMANYAPURA POST, BENGALURU - 560 061. …PETITIONER (BY SRI. CHIDANANDA URS B.G., ADVOCATE) AND: 1. ASSISTANT COMMISSIONER OF CENTRAL TAX, OFFICE OF THE COMMISSIONER OF CENTRAL TAX, BENGALURU WEST COMMISSIONERATE, TTMC/BMTC BUILDING COMPLEX, 1ST FLOOR, BANASHANKARI, BENGALURU - 560 070. 2. THE BRANCH MANAGER M/S. INDIAN OVERSEAS BANK, NO. 356, 24TH B CROSS, 9TH MAIN ROAD, BANASHANKARI II STAGE, BENGALURU - 560 070. …RESPONDENTS (BY SRI. JEEVAN J NEERALGI, ADVOCATE) Digitally signed by SUCHITRA M J Location: HIGH COURT OF KARNATAKA - 2 - NC: 2024:KHC:7492 WP No. 27807 of 2023 THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE IMPUGNED GARNISHEE NOTICE IN C NO. GEXCOM/SCN/ST/392/2023 DWD6 CGST DATED:26.09.2023 ISSUED BY THE R-1 AT ANNEXURE-B AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING:

ORDER In this petition, the petitioner seeks the following reliefs: "(A) Issue a Writ of Certiorari, or such other writ, order or direction as this Hon'ble Court may deem fit to quash the impugned garnishee notice in C.No.GEXCOM/SCN/ST/392/2023 DWD6 CGST dated 26.09.2023 issued by the Respondent no.1 at Annexure- B.

(B) Issue a Writ of Certiorari, or such other writ, order or direction as this Hon'ble Court may deem fit to quash the show cause notice in C.No.IV/16/422/2019 Div-6 Tech in Sl.No.99/2021-22/WD-6 in DIN:20210457YU000000CC54 dated 15.04.2021 is herewith enclosed as Annexure "D" issued by Respondent No.1 unserved and based on IT Returns.

(C) Issue a Writ of Cetiorari, or such other writ, order or direction as this Hon'ble Court may deem fit to quash the order in OIO No.114/2022-23 dated 27.01.2023 passed by Respondent No.1 which is herewith enclosed as Annexure "E"

(D) Pass any other order or give any other direction as this Hon'ble Court deems fit and appropriate in the circumstances of the case".

2.

Heard learned counsel appearing for the petitioner and learned counsel appearing for respondents and perused the material on record. NC: 2024:KHC:7492

3.

The material on record discloses that on 15.04.2021, respondent No.1 issued show-cause notice to the petitioner, which was followed by the impugned order dated 27.01.2023 and Garnishee notice dated 26.09.2023 issued by respondent No.1. 4. It is the grievance of the petitioner that the impugned show-cause notice at Annexure-D dated 15.04.2021 was not received by him and as such he was not provided sufficient or reasonable opportunity to submit his response/reply and contest the proceeding which has culminated in the impugned order at Annexure-E dated 27.01.2023, which is violative of principles of natural justice and the impugned order as well as subsequent Garnishee Notice dated 26.09.2023 deserves to be set aside.

5.

Per contra, learned counsel appearing for respondents supports the impugned order and submits that there is no merit in the petition and the same is liable to be dismissed.

6.

A perusal of the Impugned show-cause notice will indicate that there is nothing to show that the same has been duly served upon the petitioner. Further, the impugned order merely states that the notice was issued and details as to how and when the said show-cause notice was served upon the petitioner is not NC: 2024:KHC:7492 forthcoming in the impugned order. Under these circumstances, in view of the assertion on the part of the petitioner that his inability and omission to file his response/reply along with documents to the impugned show-cause notice which was not served upon him was due to bonafide reason, unavoidable circumstances and sufficient cause, I deem it just and appropriate to set-aside the impugned order at Annexure-E as well as the impugned Garnishee notice at Annexure-B and remit back the matter to respondent No.1 for reconsideration afresh in accordance with law by providing an opportunity to the petitioner to submit his reply to show-cause notice and to proceed further in the matter.

7.

In the light of the above, I proceed to pass the following:- ORDER I. The petition is hereby allowed. II. The impugned orders Annexures-E & B dated 27.01.2023 and 26.09.2023 are hereby set- side. NC: 2024:KHC:7492 III. The matter is remitted back to respondent No.1 for reconsideration afresh in accordance with law. IV. Liberty is reserved in favour of the petitioner to submit his reply to Annexure-D along with the documents and respondent No.1 shall consider the same and proceed further in accordance with law. JUDGE NMS List No.: 1 Sl No.: 24 CT:SNN

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.