M/S. Venkateswara Construction vs. The State Tax Officer

Held

The Court noted the submission by the learned Government Advocate that the petitioner has an alternative appellate remedy under Section 107 of the TNGST Act, 2017. Consequently, the Court did not delve into the merits of the petitioner's challenge to the assessment order. Instead, the writ petition was disposed of by granting the petitioner liberty to approach the appellate authority. The Court directed that if an appeal is filed within two weeks from the date of receiving a copy of the order, the appellate authority shall entertain it and dispose of it in accordance with the law within two months thereafter. The Court made no order as to costs. The issue of whether the assessment order was without jurisdiction or in violation of statutory provisions was not decided on merits.

Facts

The petitioner, M/s. Venkateswara Construction, filed a writ petition challenging an assessment order dated 12.07.2024, issued by the State Tax Officer, Ramanathapuram. The petitioner contended that due to ill-health and reliance on a part-time accountant who failed to ensure compliance, they were unable to participate in the adjudication proceedings, leading to an ex parte order. The respondent argued that a show cause notice (DRC 01) was issued on 23.04.2024, and the petitioner has an alternative appeal remedy under Section 107 of the TNGST Act, 2017, before the Deputy Commissioner (GST - Appeal), Madurai. The petitioner approached the High Court directly without availing this remedy.

Key Issues

1. Whether the assessment order dated 12.07.2024, issued by the respondent, is without jurisdiction and in clear violation of statutory provisions, warranting quashing by this Court under Article 226 of the Constitution of India? Petitioner's contention: The petitioner argued that the ex parte assessment order was passed due to their inability to participate in the proceedings owing to ill-health and the failure of their accountant. They sought to quash the order on grounds of lack of jurisdiction and violation of statutory provisions. Respondent's contention: The respondent argued that a show cause notice was duly issued, and the petitioner has an available statutory remedy of appeal under Section 107 of the TNGST Act, 2017, before the Deputy Commissioner (GST - Appeal), Madurai. Therefore, the writ petition is not maintainable.