Rajapalayam Cement And Chemicals LTD vs. The Assistant Commissioner (St)

Facts

The petitioner, Tvl. Rajapalayam Cement & Chemicals Ltd., challenged an order in Form GST DRC 07 dated 30.11.2023, issued by the Assistant Commissioner (ST), Rajapalayam 1 Assessment Circle. The petitioner sought to quash this order, alleging it was passed without jurisdiction and in violation of statutory provisions. The assessment pertains to the year 2021-22. The court noted that a second assessment order for the same defect was passed on 08.10.2024, which the court identified as a clear case of duplication. This duplication formed the sole ground for the court's decision.

Held

The Court held that the second assessment order dated 08.10.2024, issued for the assessment year 2021-22, was a clear case of duplication. The Court reasoned that for a particular defect, only one assessment order can be passed. The issuance of a second order for the same defect violated this principle. Consequently, the Court quashed the second assessment order dated 08.10.2024 on this sole ground. The ratio decidendi is that the issuance of multiple assessment orders for the same defect is illegal and without jurisdiction. The operative direction was to quash the impugned order. No other issues were expressly left undecided.

Key Issues

1. Whether the second assessment order dated 08.10.2024, issued for the same defect for the assessment year 2021-22, is without jurisdiction and in violation of statutory provisions, thereby warranting quashing. The petitioner argued that the issuance of a second assessment order for the same defect constituted duplication and was therefore illegal and without jurisdiction. The petitioner contended that only one assessment order can be passed for a particular defect. The respondent, the Assistant Commissioner (ST), did not record any specific arguments in defense of the second order, but the court's decision implies a challenge to the petitioner's claim of duplication and illegality.