M/S. Naskon Associates LLP vs. The Assistant Commissioner Of State Tax
Facts
The petitioner, M/s. Naskon Associates LLP, challenged a Show Cause Notice dated 05-08-2024 and a consequent Order dated 04-02-2025, both issued under Section 74 of the CGST Act by the Assistant Commissioner of State Tax. The petitioner argued that the tax period in question, April 2017 to June 2017, fell under the pre-GST regime, and therefore, the authority lacked jurisdiction. The authority rejected this contention, stating the petitioner failed to provide documentary evidence. The matter came before the High Court of Telangana in a writ petition.
Held
The Court noted that the parties reached a consensus. The petitioner's primary objection was that the tax period from April 2017 to June 2017 was pre-GST, and thus the authority lacked jurisdiction. The authority had rejected this on the ground that the petitioner did not submit documentary evidence. In light of the consensus, the Court set aside the impugned order dated 04-02-2025. The matter was restored to the file of the original authority. The petitioner was granted fifteen days to file relevant documents. The authority was directed to provide a personal hearing to the petitioner and decide the matter afresh in accordance with the law. The Court explicitly stated it was not expressing any opinion on the merits of the case.
Key Issues
1. Whether the Assistant Commissioner of State Tax had the jurisdiction to issue a Show Cause Notice and pass an Order under Section 74 of the CGST Act for the period April 2017 to June 2017, given that this period predates the GST regime? The petitioner contended that the aforementioned period falls under the pre-GST era, rendering the impugned notice and order void, illegal, arbitrary, and without jurisdiction. The petitioner argued that the authority erred in not accepting this submission without proper consideration. The respondents (State Tax authority) argued that the petitioner failed to produce documentary evidence to substantiate their claim that the period in question was pre-GST. The authority's decision was based on the lack of such evidence.
Sections Cited
Section 74
AI-generated summary — verify with the full judgment below
,[3446] HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Juri iction) WEDNE AY,THE TWENry SIXTH DAY OF MARCH TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE THE ACTING CHIEF JUSTI.CE SUJOY PAUL AND THE HONOURABLE SMT JUSTICE RENUKA YARA WRIT PETITION NO: 8964 OF 2025 Between: AND M/s. Naskon Associates LLP, Having its address al 8'5-121119138, Mailardevpally, Bandlaguda Village, Hyderabad, Telangana Represented by its Authorized- Signatory, Shilpa Banda, Wo. V Satish, Aged about 44 Years, Rl/o. Plot No 1235, Road No 60, Jubilee hills, Hyderabad ...PETITIONER
The Assistant Commissioner of State Tax, Madhapur -3 Circle, Madhapur Division, Hyderabad
State of T-elangana, Through Principal Secretary to Govemment Revenue Department(CommercialTax),Hyderabad,Telangana ...RES'ONDENTS Petition under Article 226 of lhe Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a writ, order or direction, more particularly in the nature of a writ of certiorari quashing the Show Cause Notice dated 05-08-2024 bearing Reference No. 2D360824014705C issued uis. 74 along with its attachment
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