M/S Royal Fire And Security Systems vs. The Assistant Commissioner Of Commercial Taxes - Karnataka High Court, 21 July 2026

Cause title — parties, addresses and appearances

- 1 - HC-KAR CNR: KAHC010463172026 NC: 2026:KHC:37283 WP No. 21104 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF JULY, 2026 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 21104 OF 2026 (T-RES) BETWEEN: M/S ROYAL FIRE AND SECURITY SYSTEMS THIPPESHI TALWAR S/O ERAPPA H, A PROPRIETORSHIP, REPRESENTED BY PROPRIETOR AGED ABOUT 46 YEARS, NO.1356, 60FT ROAD, AECS LAYOUT A BLOCK, SINGASANDRA BEGUR HOBLI, BANGALORE-560068 GST 29AHQPT0568H1ZN …PETITIONER (BY SRI. SUBRAHMANYA BHAT., ADVOCATE) AND: THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES COMMERCIAL TAXES, LGSTO-16, 6TH FLOOR, TTMC BUILDING, Digitally signed by VANAMALA N Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR CNR: KAHC010463172026 NC: 2026:KHC:37283 WP No. 21104 of 2026 80 FEET ROAD, KORAMANGALA, BANGALORE-560095 …RESPONDENT (BY SMT. JYOTI M MARADI, HCGP) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO A. ISSUE A WRIT OF CERTIORARI OR DIRECTION IN THE NATURE OF A WIRT OR CERTIORARI QUASHING SHOW CAUSE NOTICE ISSUED BY THE RESPONDENT UNDER SECTION 73(1) OF KGST ACT, 2017 R.W.R. 142(1)(1) OF KGST RULES DATED 15.11.2024, FOR FY 2020-21 FOR FY 2020-21 ENCLOSED HEREWITH AND MARKED AS ANNEXURE - A. ISSUE A WRIT OF CERTIORARI OR DIRECTION IN THE NATURE OF A WRIT OR CERTIORARI QUASHING THE ORDER PASSED BY THE RESPONDETN UNDER SECTION 73(10) R.W.S. 73(9), 50 AND RULE 142 OF KGST RULES, 2017 DATED 19.02.2025 FOR FY 2020-21 IS ENCLOSED HEREWITH AND MARKED AS ANNEXURE - A1. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR CNR: KAHC010463172026 NC: 2026:KHC:37283 WP No. 21104 of 2026 CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD

ORAL ORDER

The petitioner is aggrieved by the Show Cause Notices issued under Section 73(1) of the Karnataka Goods and Services Tax Act, 2017 [for short, ‘the KGST Act'] read with the relevant Rules and the Adjudication Orders. The details of the impugned Show Cause Notices and the Adjudication Orders which are for the different financial periods are as follows.

Notices/ Orders Date Financial Year Provisions of KGST Act/Rule Annexures Show Cause Notice 15.11.2024 2020-21 73(1) read with Rule 142(1)(a) A Order 19.02.2025 2020-21 73(10) r.w.s 50 and Rule 142 A1 Show Cause Notice 17.05.2024 2019-20 73(1) r.w.r 142(1)(a) of KGST Rules B Order 08.08.2024 2019-20 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules B1 Show Cause Notice 31.01.2024 2018-19 73(1) r.w.s. 142(1)(a) of KGST Rules C Order 25.03.2024 2018-19 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules C1 Order 17.08.2023 2017-18 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules D HC-KAR

CNR: KAHC010463172026 NC: 2026:KHC:37283 The proceedings are initiated because of a mismatch between Form GSTR-2A and Form GSTR- 3B, and the Adjudicating Officer has concluded the proceedings against the petitioner observing that the petitioner is issued with Show Cause Notices over E-mail but the petitioner has not responded to the same. The petitioner, on the other hand, has stated thus to explain the reason for non-participation.

"g. The Petitioner submits that neither the notice nor the impugned order was served upon them via post or courier. Furthermore, the email address registered on the GST portal is currently invalid, as a result of which no electronic communication from the Department was received. Consequently, the Petitioner has been completely deprived of notice regarding the proceedings."

3 Mr. Subrahmanya Bhat, the learned counsel for the petitioner, and Ms. Jyoti M. Maradi, a learned High Court Government Pleader who accepts notice for the respondents, are heard on whether this HC-KAR

CNR: KAHC010463172026 NC: 2026:KHC:37283 Court must interfere on the ground of lack of opportunity. The uploading of the notices on the GST Portal may suffice given the provisions of Section 169 of the CGST/KGST Act, but the petitioner is categorical in stating that its access based on the registered E-mail is invalid for reasons.

4 Crucially, the petitioner asserts that it has not had the notice of the proceedings and with the initiation of the proceedings on multiple years based on a mismatch [between Forms GSTR-2A and 3B]. These impugned proceedings are for the years commencing form 2017-18 to 2020-21, and the Circulars have been issued enabling the RTP [the purchasers] when there is a mismatch between the auto populated details in Form GSTR-2A and the details in Form GSTR-3B to produce documents to show the genuineness of the details in Form GSTR-3B. As such, in the peculiarities of this case, this Court is of the view that, for a complete opportunity to the HC-KAR

CNR: KAHC010463172026 NC: 2026:KHC:37283 petitioner it must be at liberty to show cause against the proceedings. Hence, the following. ORDER The petition is allowed quashing the following with liberty to the petitioner to respond to the Show Cause Notices subject to the following terms. The details of the quashed annexures: Notices/ Orders Date Provisions of KGST Act/Rule Annexures Order 19.02.2025 73(10) r.w.s 50 and Rule 142 A1 Order 08.08.2024 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules B1 Order 25.03.2024 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules C1 Order 17.08.2023 73(10) r.w.s 73(9), 50 and Rule 142 of KGST Rules D

[a] The proceedings are restored to the respondent for due consideration subject to the petitioner depositing 10% of the tax in demand by 05.10.2026 subject to the outcome in the restored proceedings. HC-KAR

CNR: KAHC010463172026 NC: 2026:KHC:37283 [b] The petitioner is permitted to file, along with a certified copy of this Order, the copies of the documents to show the genuineness of the transactions in reply to the Show Cause Notices as per Annexures- A, B, C and the Show Cause Notice relevant to Annexure-D.

[c] The petitioner shall produce these documents by 05.10.2026 and the respondent shall consider these documents and then conclude the proceedings by a reasoned order. (B M SHYAM PRASAD) JUDGE