Tvl Eshwar Motors vs. The Proper Officer/State Tax Officer

Held

The Court noted the submission by the learned Government Advocate that the petitioner has an available appeal remedy before the appellate Deputy Commissioner (GST - Appeal), Madurai, under Section 107 of the TNGST Act, 2017. Consequently, the Court disposed of the writ petition. The petitioner was granted liberty to approach the appellate authority and raise all grounds previously raised in the writ petition. The Court directed that if an appeal is filed within two weeks from the date of receipt of the order, the appellate authority shall entertain it without reference to the period of limitation and dispose of it in accordance with law within four months thereafter. No order as to costs was made.

Facts

The petitioner, Tvl. Eshwar Motors, represented by its partner, filed a writ petition challenging an assessment order dated 24.08.2024, passed by the respondent, the Proper Officer/State Tax Officer, Paramakudi Assessment Circle, for the tax period 2019-2020. The petitioner contended that the assessment order was passed without providing sufficient opportunity, violating principles of natural justice. The respondent argued that a show cause notice (DRC-01) was issued on 27.05.2024, followed by a personal hearing notice on 28.06.2024, and that the petitioner had an alternative appeal remedy under Section 107 of the TNGST Act, 2017, before the appellate Deputy Commissioner (GST - Appeal), Madurai.

Key Issues

1. Whether the assessment order dated 24.08.2024, passed by the respondent for the year 2019-2020, is liable to be quashed for violation of principles of natural justice due to insufficient opportunity provided to the petitioner? Petitioner's contention: The petitioner argued that the impugned assessment order was passed without providing sufficient opportunity, which contravenes the principles of natural justice, rendering the order illegal and liable for setting aside. Respondent's contention: The respondent countered that the assessment order was passed after issuing a show cause notice (DRC-01) on 27.05.2024 and a personal hearing notice on 28.06.2024. The respondent further submitted that the petitioner possesses an alternative statutory remedy of appeal under Section 107 of the TNGST Act, 2017, and has prematurely approached the High Court without exhausting this remedy.