W.P(MD)No.16377 of 2026 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT Dated: 16.06.2026 CORAM THE HONOURABLE MR JUSTICE D.BHARATHA CHAKRAVARTHY W.P(MD)No.16377 of 2026 and W.M.P(MD)No.12215 of 2026 S.Baskar ... Petitioner Vs. The Deputy State Tax Officer-2, Karur - 2 Assessment Circle, 2nd Floor, Combined Commercial Taxes Buildings, RDO Office Campus, North Pradakshnam Road, Karur - 639001. ...Respondent Prayer: Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of CERTIORARIFIED MANDAMUS, to call for the records on the file of the respondent in GSTIN. 33BHJPB7801D1ZW / 2021-22 dated 05.12.2025 for the assessment year 2021-22 passed by the Respondent under section 73 of TNGST Act 2017 and to quash the same as cryptic, non-speaking, illegal , arbitrary, wholly without jurisdiction and direct the respondent to pass assessment order afresh after affording opportunity of being heard or pass such further or other orders, as the Honble Court may deem fit and proper in the circumstances of the case and thus render justice. 1 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 For Petitioner : Mr.N.Sudalai Muthu For Respondent : Mr.S.Vashik Ali Government Standing Counsel ORDER This writ petition challenges the impugned order dated 05.12.2025 which is an assessment order passed under Section 73 of the TNGST Act 2017.

2. I have heard the learned counsel for the petitioner and the learned Government Standing Counsel representing the revenue. 3. By the impugned order, the assessment was made because the petitioner did not utilise the opportunities provided. The discrepancies and grounds on which the assessment order was issued, the dealer’s explanation on merits, and the reasons for not participating in the assessment proceedings are summarized briefly and presented in a table below: 2 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 Discrepancies Explanation offered by the Explanation for not found/Grounds on Assessee on merits availing the opportunity which the order is passed

The respondent alleged The petitioner specifically The petitioner had in fact excess availment of denied execution of any work filed a detailed reply the ITC of Rs.58,164/- for the concerned Panchayats denying the allegations (CGST and SGST during the relevant assessment respondent that no such Rs.29,082/- year. Mere reflection of GST- and informing works had Rs.29,082/-) based on TDS in GSTR-7 cannot by been executed. Since the mismatch between establish the itself existence of relevant records were in GSTR-3B and a taxable supply without the custody of the GSTR-2A for AY verification of the underlying Panchayat authorities, the 2021-22. The transaction. The petitioner petitioner dependent was difference was treated immediately approached the upon Government as ineligible ITC and Panchayat authorities and authorities for obtaining tax, interest and subsequently obtained supporting documents. penalty were levied proceedings dated 23.01.2026 While the petitioner was under Section 73 of the from the Block Development actively pursuing the TNGST Act. Officer, Thanthoni Panchayat records and awaiting Union, certifying that no work confirmation, official the was executed by the petitioner respondent proceeded to in the concerned Panchayats. finalize the assessment.

The said official certificate The non-production of completely demolishes the documents was neither factual basis of the wilful nor deliberate but assessment. Therefore, the was due to circumstances demand is founded on beyond the petitioner's erroneous assumption and is control. liable to be set aside. 3 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 4. Considering the nature of the discrepancies noted, the explanation provided by the assessee and the reason given before this Court for not availing the opportunity, I believe that an opportunity can be granted to the assessee to present their submissions and produce the relevant supporting documents before the respondent assessing officer. This Court has been extending such opportunities on equitable grounds; however, under appropriate conditions. Since, in this case it is stated that the concerned Panchayat itself has given a certificate that no such work is undertaken, no additional condition is imposed. 5. In view of this, the writ petition is allowed on the following terms:- i. The impugned order dated 05.12.2025 shall stand set aside, and remanded back to the file of the respondent. ii. The assessee shall appear before the respondent without fail and submit their reply and documents in support of their claim, and it is for the respondent to consider the matter afresh and pass orders in accordance with law. 4 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026

iii. Since the impugned order of assessment is set aside, any attachment of the bank account made pursuant to the impugned order shall stand raised. iv. No costs. Consequently the connected miscellaneous petition shall stand closed. 16.06.2026 Neutral Citation: No rgm 5 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 D.BHARATHA CHAKRAVARTHY, J. rgm To The Deputy State Tax Officer-2, Karur - 2 Assessment Circle, 2nd Floor, Combined Commercial Taxes Buildings, RDO Office Campus, North Pradakshnam Road, Karur - 639001. W.P(MD)No.16377 of 2026 and W.M.P(MD)No.12215 of 2026 16.06.2026 6 https://www.mhc.tn.gov.in/judis

W.P(MD)No.16377 of 2026 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT Dated: 16.06.2026 CORAM THE HONOURABLE MR JUSTICE D.BHARATHA CHAKRAVARTHY W.P(MD)No.16377 of 2026 and W.M.P(MD)No.12215 of 2026 S.Baskar ... Petitioner Vs. The Deputy State Tax Officer-2, Karur - 2 Assessment Circle, 2nd Floor, Combined Commercial Taxes Buildings, RDO Office Campus, North Pradakshnam Road, Karur - 639001. ...Respondent Prayer: Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of CERTIORARIFIED MANDAMUS, to call for the records on the file of the respondent in GSTIN. 33BHJPB7801D1ZW / 2021-22 dated 05.12.2025 for the assessment year 2021-22 passed by the Respondent under section 73 of TNGST Act 2017 and to quash the same as cryptic, non-speaking, illegal , arbitrary, wholly without jurisdiction and direct the respondent to pass assessment order afresh after affording opportunity of being heard or pass such further or other orders, as the Honble Court may deem fit and proper in the circumstances of the case and thus render justice. 1 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 For Petitioner : Mr.N.Sudalai Muthu For Respondent : Mr.S.Vashik Ali Government Standing Counsel ORDER This writ petition challenges the impugned order dated 05.12.2025 which is an assessment order passed under Section 73 of the TNGST Act 2017.

2. I have heard the learned counsel for the petitioner and the learned Government Standing Counsel representing the revenue. 3. By the impugned order, the assessment was made because the petitioner did not utilise the opportunities provided. The discrepancies and grounds on which the assessment order was issued, the dealer’s explanation on merits, and the reasons for not participating in the assessment proceedings are summarized briefly and presented in a table below: 2 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 Discrepancies Explanation offered by the Explanation for not found/Grounds on Assessee on merits availing the opportunity which the order is passed

The respondent alleged The petitioner specifically The petitioner had in fact excess availment of denied execution of any work filed a detailed reply the ITC of Rs.58,164/- for the concerned Panchayats denying the allegations (CGST and SGST during the relevant assessment respondent that no such Rs.29,082/- year. Mere reflection of GST- and informing works had Rs.29,082/-) based on TDS in GSTR-7 cannot by been executed. Since the mismatch between establish the itself existence of relevant records were in GSTR-3B and a taxable supply without the custody of the GSTR-2A for AY verification of the underlying Panchayat authorities, the 2021-22. The transaction. The petitioner petitioner dependent was difference was treated immediately approached the upon Government as ineligible ITC and Panchayat authorities and authorities for obtaining tax, interest and subsequently obtained supporting documents. penalty were levied proceedings dated 23.01.2026 While the petitioner was under Section 73 of the from the Block Development actively pursuing the TNGST Act. Officer, Thanthoni Panchayat records and awaiting Union, certifying that no work confirmation, official the was executed by the petitioner respondent proceeded to in the concerned Panchayats. finalize the assessment.

The said official certificate The non-production of completely demolishes the documents was neither factual basis of the wilful nor deliberate but assessment. Therefore, the was due to circumstances demand is founded on beyond the petitioner's erroneous assumption and is control. liable to be set aside. 3 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 4. Considering the nature of the discrepancies noted, the explanation provided by the assessee and the reason given before this Court for not availing the opportunity, I believe that an opportunity can be granted to the assessee to present their submissions and produce the relevant supporting documents before the respondent assessing officer. This Court has been extending such opportunities on equitable grounds; however, under appropriate conditions. Since, in this case it is stated that the concerned Panchayat itself has given a certificate that no such work is undertaken, no additional condition is imposed. 5. In view of this, the writ petition is allowed on the following terms:- i. The impugned order dated 05.12.2025 shall stand set aside, and remanded back to the file of the respondent. ii. The assessee shall appear before the respondent without fail and submit their reply and documents in support of their claim, and it is for the respondent to consider the matter afresh and pass orders in accordance with law. 4 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026

iii. Since the impugned order of assessment is set aside, any attachment of the bank account made pursuant to the impugned order shall stand raised. iv. No costs. Consequently the connected miscellaneous petition shall stand closed. 16.06.2026 Neutral Citation: No rgm 5 https://www.mhc.tn.gov.in/judis W.P(MD)No.16377 of 2026 D.BHARATHA CHAKRAVARTHY, J. rgm To The Deputy State Tax Officer-2, Karur - 2 Assessment Circle, 2nd Floor, Combined Commercial Taxes Buildings, RDO Office Campus, North Pradakshnam Road, Karur - 639001. W.P(MD)No.16377 of 2026 and W.M.P(MD)No.12215 of 2026 16.06.2026 6 https://www.mhc.tn.gov.in/judis