M/S. R P Travels vs. The State Tax Officer

Facts

The petitioner, M/s. R P Travels, represented by its Proprietor, filed a writ petition before the Madurai Bench of the Madras High Court. The petition challenged an assessment order dated 23.08.2024, passed by the respondent, the State Tax Officer, Madurai (Rural) East Assessment Circle. The petitioner contended that the assessment order for the year 2019-2020 was passed in violation of the principles of natural justice, specifically without providing sufficient opportunity to be heard. The respondent argued that a show cause notice was issued on 23.05.2024, followed by a reminder, and that the petitioner had an alternative appeal remedy under Section 107 of the GST Act, 2017.

Held

The Court acknowledged the respondent's submission that the petitioner has an appeal remedy available before the Deputy Commissioner (ST) (Appeal), Madurai, under Section 107 of the GST Act, 2017. Consequently, the Court disposed of the writ petition by granting the petitioner liberty to approach the appellate authority. The Court directed that the appeal should be entertained by the appellate authority without reference to the period of limitation if filed within two weeks from the date of receipt of the order. The appellate authority was further directed to dispose of the appeal in accordance with the law within three months thereafter. The Court did not decide on the merits of the petitioner's claim regarding the violation of natural justice.

Key Issues

1. Whether the assessment order dated 23.08.2024, passed by the respondent, is illegal, arbitrary, and in violation of the principles of natural justice, particularly Section 75(4) of the Tamil Nadu Goods and Services Tax Act, 2017, due to insufficient opportunity of personal hearing to the petitioner? Petitioner's contention: The assessment order was passed without providing sufficient opportunity to the petitioner, violating the principles of natural justice. Therefore, the order is liable to be set aside. Respondent's contention: A show cause notice was issued on 23.05.2024, followed by a reminder on 19.08.2024, indicating that sufficient opportunity was provided. The petitioner has an alternative remedy of appeal under Section 107 of the GST Act, 2017, and should have availed it instead of approaching the High Court directly.