Ambika Trading Company vs. The Assistant Commissioner Of State Tax

HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) FRIDAY ,THE THIRTIETH DAY OF APRIL TWO THOUSAND AND TWENTY ONE PRESENT THE HONOURABLE SRI JUSTICE M.S.RAMACHANDRA RAO THE HoNouRABLE sRl)r?slcE r.vtNoD KUMAR WRIT PETITION NOS: 1 1905. 1 1906. 11910. 11967 &12012 oF 2021 Between: M/s.Ambika Secunderabad AND 1 IANO: 1OF2 021 WP NO: 11906 0F 2021 Between: tr//s. Ambika Secunderabad AND 1 Trading C_ompany, 174, Kanaiiquda, Telecom . Kep Dy rts proprietor IVr.Harsukh M6hantai patet Colony, ...PETITIONER ...RESPONDENTS 2 The Assistant commissroner of state Tax and another, (commerciar rax officer) Bowenpatty-2 Circte, Begumpet Oivision, HyOeilOjil ' I1"^ljl:-qtl:langana,Rep by its principat Secretary, Revenue (CT) uepanment. I etangana Secretaflat. Hyderabad. Petition under Articre 226 of rhe constitution of rndia praying that in the circumstances stated in the affidavit fired therewith, the High colrt rn a"y Le pteaseo to issue writ of Mandamus or any other appropriate writ or order or direction declaring the action of the i^sr respondent in pasring the Assessment proceedings Best of Judgement, dated 2210112020 in Form vAT-305 for the tax period zois-lo und€r the Telangana Value Added rax Act 2005, served on the petitioner on 0610412021,,as arbitrary, contrary to raw, barred by Iimitation and in vrolation of principles of natural justice and Rule of Law and consequenfly s"t a"lie t" Assessment Proceedings passed by the 1st respondent dated 22loitzozo by way of Best of Judgement, as null and void Petition under Section 15'1 cpc praying that in the circumstances stated in the affidavit filed in support of the petition, the High court may be pleased to suspend the operation of the Assessment proceedings, dated 22.0i.2020 passed by the 1st respondent as Best of Judgement, for the tax period 2015-16 under the Telangana Value Added rax Act 2005, pending disposal of the above writ petition, as otherwise, the Petitioner will be put to severe loss and hardship. Trading Company, 174, Kanaj iguda, Telecom Colony, Rep. by its Proprietor It4r.Harsukh [r,4ohanlal Patel ..,PETITIONER The Assistant Commissioner of State Tax, (Commercial Tax Officer) Bowenpally- 2 Circle, Begumpet Division, Hyderabad. WP NO: 11905 OF 2021 2 The State or I.13!9?l3,J"ti*iJ,,Xi t#:1,1 secretary Revenue (cr) DePartment, Telanga ...RESPONDENTS PetitionunderArticle226oftheConstitutionoflndiaprayingthatinthe circumstances stated in tn "" ui-io"u r'i tiieo trerewitr, the High Court may be pleased to issue Writ of l',4andamus or any other uO?l?Pj'ut" writ or order or direction declaring the action ot the ist respondent in p?::Io the Assessment Proceedings Best of Judgement, cateo giiz i6ig-in ro|"n1 vAT "305 for the tax period 2013-14 under the Telangana Vuf ti" nJJ"a Tax Act 2005 served on the Petitioner on 06.o4.2021, as arbitrary' ;;ti;'y t'r'*' n"oo bv limitation and in violation of principles of natural iustice ani Rule of Law and ccnsequently set aside the Assessment Proceedings p**JOV G" 1st respondent dated 31 12 2019 by way of Best of Judgement, as nult and void ' Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in supplri ot tn" puiition' in" nigr' Court m.1v^?9^pl"?::d to suspend the operation ot tn-e'nssessment Proceedingi, dated 31 .12.2019 passed by the 1st respondent as Bes"t'oi-LrJg";unt, for the tax period 2013-14. y1d9r the i;d;;;;i;iue AoJ"o ru* n"iioos, pendins disposal of the above writ Petition' u. oth""*i.", the Petitioner will be put to severe loss and hardship' IA NO 10F 2021 WPN O: 11 10 0F 2021 I Between: M/s.Ambika Tradinq Company, 174' lianaiiguda', ^ Telecom Colony' S'"iriJ"rrnua. nep. 6y itJProprieior l/lr'Harsukh Mohanlal Patel ...PETITIONER The Assistant commissioner of State Tax, (commercial Tax Officer) Bowenpally- Z C-iicle, Aegumpet Division, Hyderabad' ThestateofTelangana'Rep.byitsPrincipalSecretary'Revenue(CT) Department, Telangana Secretariat, Hy0eraDao ...RESPONDENTS AND 1 2 Petition under Article 226 ol the constitution of lndia praying that in the cirCUmstanCesstatedintheaffidavitfiledtherewith,theHighCourtmaybepIeased io issue writ of Mandamus or any other appropriate writ or order or direction Jectaring the action of the 1st respondent in passrng the Assessment Proc^e^edings Best of judgement, dated 22-01-2020 in Form VAT 305 for the tax period 2014-15 under the ielangana Value Added Tax Act 2005, served on the Petitioner on 06.04.2021, as arbitrary, contrary to law, barred by llmitation and in violation of principles of natural justice and Rule of Law and consequently set aside the Assessment Proceedings passed by the '1 st respondent dated 22-01-2020 by way of Best of Judgement, as null and void. A NO: 1 OF 2021 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 to suspend the operation of the Assessment Proceedings, dated 22-01-2020 passed by the .1st respondent as Best of Judgement, for the tax period 2014-15 under the Telangana Value Added Tax Act 2005, pending disposal of the above writ Petition, as otheMise, the Petitioner will be put to severe Ioss and hardship. WP NO:11967 oF 2021 Between: 1. IV/s.Ambika Tradino .Company . 174 Kanajiguda, Telecom Secunderabad. Rep. 5y its proprietor lt4r. Harsukh lVlohanlal patel Colony, Colony, Between: Yl.^:fl?iq Trading Company.. . 174, Kanajiguda, Tetecom secunderabad. Rep. by its proprreior rr.ar.rarsukf, ti6xJnrar pater AND 1 2 IE't:: B'ilffi ;:1tsi"''1"#',:l;j?j? Jo" ( co m mercia r ra x orrice r) Bowe n pa, y- The State of Telanqana, Rep. by its principal Secretary, Revenue (CT) Lrepartment, Telangana Seiretdriat, HVOeIanaO-"'''"'r, ...RESPONDENTS Petition under Articre 226 0f the constitution of rndia praying that in the circumstances stated in rhe affidavit fir; th;;;th,"the High court may be preased to issue writ of Mandamus .or any other appropriate writ or order or direction decla'ng the action of the J,st 1e^sg^o1aen] in-pSrring the Rssessmeni ero.""iing, Best of Judgement, daied 22ro1r2ozo in iornivni 305 for the tax period 2016_1r !11"f t!9 Telangana Vatue .Added rax Act 2005, served on the petitioner on 061.0412o21 , as arbitrary, contrary to raw, and in vioration of principres of naturar justice and Rure of Law and consequentry sei asioe the Assessment ero"""oing, passed. by the 1st respondent dated 22roi 12020 by way of Best or Luogement, as null and void AND ...PET|T|oNER(S) ' lL:i8:B'3;ffi8:lT:":i?J."';l,ti?:?Jj,, (commerciar rax orricer) Bowenpa,y- 2. The State of Telanqana Rep. by its principal Secretary, Revenue (CT) Depa rtment, Teta nlana Seireta,riai. HvoiilJi ...RESPONDENTS . Petition under Articre 2:6 0f the constitution of rndia praying that in the crrcumstances stated in the affidavit fileA therewith, the High Court may be pleased toto tssue Writ of [r,4andar..1. o,. any other appropriate writ or ordei or d,irection declaring the actron of the JSt ,"_.pono"nt-ir;;.irrg -the Assessment proceedings Best of Judgement, dated 22ro1r2ozol. i"r'ivni 305 for the tax period 2017_18 (upto June, 2017) under tl.re Terangana vrrr"'eol'"0 rax Act 2005, served on the Petitioner on O6lO4t2O21. as arbitra[r, """trriy t"'i"*, and in violation of principles of naturat justice and Rute.gf .13* ;rd ;";:";r;ntty set aside the Assessmenr !J[n's?} 3 i::i:,3 "J lf r st re s po n ol"ni " iJiJ iz m noz o iv "*-, v'oi'd;., or lA NO: 1 OF 2021 Petition under Section 151 .CPC praying that in the circumstances stated in ll:--ifli9?."it fited in supporr.of the puittion, ir,""nigh Court may be pleased to suspend the operation of the Assessm"nt cro.e"Jings, dated 22ro1r2o2o passed by the '1 st respondent as Best of Lrog"ruri, io,;#'i?I period 2017_18 (upto June, 2017) under the Telanoana Value"Rdaed f* e.t 2005, pending disposal of the above writ petition, as otherwise, "," -F"iifionu, wil be put to severe ross and hardship. WP NO: 12012 OF 2021 ...PETITIONER petition under section .1 51 cpc praying that. in the circumstances stated in the affidavit filed ln suppli "i tn" p"iitl"t iht Hiot'' Court may be pleased to susoend the operation "f 1i"'nt'"tt*ent ProceedingJ' a't"o 22t^o^1'!?o'2: p::::d b' the respondent as Best ;1" il;t;;;;;i for the iax period 2016-17 under the Telangana Value Added r* ni-ioOs pending disposai of the above Writ Petition' aS otherwiSe, the Petitioner wi,ll be put to'SeVere loss and hardship. Counsel for the Petitioner in all WPs: M/S' SHAIK VAHEEDA SUSHMA Counsel for the Respondents in all WPs: SRI' SAI KRISHNA' AGP FOR IA NO: OF 2021 The Court made the following: ADVOCATE GENERAL 1 t HONOURABLE SRI JUSTICE M.S.RAMACHANDRA RAO ANI) HONOTIRABI-E SRI .I I.'ST'ICE T.VINOD KUMAR WRIT PETITION Nos.I 1905 I 1906 I l9l0 tt96'l 12012 ol'2021 COMMON ORDER: (l'cl IIon'hlc Sri .)Lrsticc lU.S. Ramachandra li.ao) Heard learned counsel fbr petitioner and Sri Sai Krishna, leamed Assistant Government Pleader attached to the Office of the leamed Advocate General, appearing lor respondents. 2. In all these cases, Assessment Orders passed against the petitioners under the Telangana VAT Act, 2005 for the Assessment Years 2013-14, 2014-15, 2015-16, 2016-17 and 2017-18 are assailed on the ground that the pre-assessmenl show cause notice was sent to the earlier business address of the petitioner, which was never received bv petitioners since the petitioner had changed its address atier GST regime cantc into ell'ect on 0l-07-20 17. i. Copy of Registration Certit'ication in Form GST REG-06 issued by the Governrnent of India on l8-07-2018 has been filed by the petitioners. 4. It is also the case of the petitioners that on 27-07'2019, petitioners cancelled the registration under the GST Act and copy ot' such order for cancellation of registration is also filed in the material papers 5. Learned counsel lor pettttonet's contend that the imPugned Assessment Orders are in violation of principles of natural 'lustice because none of the pre-assesstnent show cause notices lor the said periods has been served on petltloners' 6. Sri Sai Krishna, learned Assistant Government Pleader attached to the Office of the learned Advocate General' appearing for respondents does not dispute that the address of the petitioners was changed,as is evidenced by the certificate dt'18-07-2018 issued in Form GST REG-06 by the Government of India'and that the notices had been issued by the Assessing Officers to the previous address of the petitioners and therefore have never reached the petitioners' 7. In this view of the matter, all these Writ Petitions are allorved; the impugned Assessment Orclers passed by the l'' respondent for the periods 2013-14, 2Ol4-15,2015-16' 2016-17 and 2017-18 are set aside; matters are remitted back to the 1" respondent for fresh consideration; the l't respondent shall issue pre-assessment show cause notice to the petitioners to the address mentioned in the cause title in the Writ Petitions in accordance with Rule 64(1)(b) of the Telangana VAT Rules; six (06) weeks time is granted to the petitioners from the date of receipt of said show cause notice to file objections thereto along with supporting material; personal hearing shall be provided to the petitioners by l" respondent; and a reasoned order be P3ssed in accordance with law and communicated to the petitioners. No costs. ( : :3:: 8 Consequently, miscellaneous petitions, pending if any, shall stand closed. ,TRUE COPY// SD/.V.SUDHA ASSISTANT REGISTRAR \L SECTION OFFICER I To, 1. The Assistant commissioner of State Tax and another, (commercial rax officer) Bowenpally-2 Circle, Begumpet Division, Hyderabad. 2. The Principal Secretary, Revenue (CT) De[artment, State of Telangana, Telangana Secretariat, Hyderabad. 3. One CC to lV/s. Shaik Vaheeda Sushma Advocate tOpUCl 4. Two ccs to GP for commerciar raxes,High court ior the btate of rerangana. Iour] 5. Two ccs to the Advocate Generar, High court for the state of rerangana. (oUT) 6. Two CD Copies. t \ -\;\=*- - HIGH COURT DATED:3010412021