Tvl Sri Shakthi Vinayakar Battery vs. The Joint Commissioner (State Tax) - (Intelligence)

Suddenly the authorities made an inspection and even though nothing could be found, they made an allegation as if the collection of scrap and supply was from build traders and actually no such transaction was happened. The petitioner on its part had produced the proof for making payment online, E-way bills for transportation and even the lorries crossing the toll booths, wherever it is available. When the proof for actual purchase has been laid before the assessing authority, only because they have to pass some orders based on inspection with biased attitude, the entire reply has been considered. As a matter of fact, the one of the traders namely AJ Power Center when their registration was cancelled stating that they are bill traders, the registration was sought to be cancelled. The notice itself was challenged and by order dated 10.03.2026 in WP.No.9450 of 2026, the same was set aside and an 3 https://www.mhc.tn.gov.in/judis enquiry was directed to be considered in tune with the judgment in Commissioner[(2022)99 GSTR 386]. The same is not at all considered by the assessing authority and the assessing authority goes as if both persons are only confirmed bill traders.

Per Contra, the learned Government Standing Counsel would submit that the documents and the reply in detail has been considered and with reference to each and every proposal, reasons of the assessing authority has been given. In view thereof, this writ petition is need not be entertained under Article 226 of the Constitution of India. 5.I have considered the rival submissions made on either side and perused the material records of the case. 6.The submissions made by the learned counsel for the petitioner are with reference to the merits of the allegation levelled against the petitioner. The learned counsel took pains to demonstrate as to the nature of documents submitted by the petitioner and would contend that 4 https://www.mhc.tn.gov.in/judis the said documents by themselves would amount to proper proof of the claim that the transaction actually happened and it cannot be treated as a bill trading transaction.

The learned counsel would also further assail the reasoning contained in the impugned order. The nature of contentions that are made can also be raised before the appellate authority.

The learned counsel would submit that with reference to other dealers also the same is mentioned wrongly as if their registration is also cancelled. The learned counsel would also submit that apart from other documents, viz., Amara Raja Energy and Mobility Limited add duly given certificate that the goods have come to their smelters and the same is used for recycling also. Even if the authorities had any doubt an inquiry could have been conducted by summoning such employees as officials from the said company. The learned counsel would also submit that in the impugned order, the authorities have also mentioned about the contravention of Section 162-C of the Act and the very mentioning 5 https://www.mhc.tn.gov.in/judis of the provision is self contradictory. Needless to mention that all the grounds can be raised before the appellate authority and the appellate authority shall consider the same dispassionately. 9.With the above observation, this Writ Petition is disposed of. No costs. Consequently, connected miscellaneous petition is closed. 08.06.2026 NCC:Yes/No Ns Note:Registry shall return the original impugned order to the petitioner. To 1.The Joint Commissioner (State Tax) – (Intelligence), Commercial Taxes Complex, Dr.Thangaraj Salai, Madurai - 625020. 2.The Commercial Tax Officer/ The State Tax Officer (Intelligence), O/o the Joint Commissioner (St) (Intelligence) Inspection Cell - I Commercial Taxes Complex, Dr.Thangaraj S 6 https://www.mhc.tn.gov.in/judis D.BHARATHA CHAKRAVARTHY, J. Ns and W.M.P(MD)No.11128 of 2026 https://www.mhc.tn.gov.in/judis

2026 https://www.mhc.tn.gov.in/judis