M/S. K B Hallow Blocks vs. The Commercial Tax Officer

Facts

The petitioner, M/s.K.B. Hallow Blocks, represented by its Proprietor, filed a writ petition challenging an assessment order dated 30.08.2024, passed by the respondent, the Commercial Tax Officer, Mudukulathur Circle. The order pertains to the tax period April 2019 to March 2020 (Financial Year 2019-2020). The petitioner contends that the assessment order was passed in violation of the principles of natural justice, specifically without providing a sufficient opportunity to be heard. The respondent argued that a show cause notice was issued on 22.05.2024 and that the petitioner has an alternative appellate remedy under Section 107 of the TNGST Act, 2017, before the Deputy Commissioner (GST Appeal), Madurai.

Held

The Court noted the submission by the learned Government Advocate that the petitioner has an appellate remedy before the Deputy Commissioner (GST Appeal), Madurai, under Section 107 of the TNGST Act, 2017. Consequently, the writ petition was disposed of by granting liberty to the petitioner to approach the appellate authority. The Court directed that if an appeal is filed within two weeks from the date of receipt of the order, the appellate authority shall entertain it without reference to the period of limitation. The appellate authority is further directed to dispose of the appeal in accordance with law within three months thereafter. The Court made no order as to costs. No specific finding was made on the merits of the petitioner's claim regarding the violation of natural justice, as the matter was remitted to the appellate authority.

Key Issues

1. Whether the assessment order dated 30.08.2024, passed by the respondent for the tax period April 2019 - March 2020, is illegal and passed in gross violation of the Principles of Natural Justice, as contended by the petitioner? Petitioner's Arguments: The petitioner argued that the assessment order was passed without providing sufficient opportunity, thus violating the principles of natural justice, and therefore, the impugned order is liable to be set aside. Respondent's Arguments: The respondent contended that a show cause notice was issued on 22.05.2024, and therefore, there was no need to interfere with the order. The respondent also highlighted that the petitioner possesses an appeal remedy under Section 107 of the TNGST Act, 2017, and that the petitioner approached the High Court directly without availing this remedy.