M/S. Rathina Stores v. The State Tax Officer

ORDER Mr.V.Prashanth Kiran, learned Government Advocate takes notice for the Respondent.

¶2This Writ Petition is being disposed of at the stage of admission itself with the consent of the learned counsel for the Petitioner and the learned Government Advocate for the Respondent.

¶3In this Writ Petition, the Petitioner has challenged the impugned Order dated 16.10.2025, which was preceded by a Show Cause Notice in GST DRC-01 dated 04.07.2025 wherein the Petitioner was called upon to appear for personal hearing. However, the Petitioner had not taken advantage of the same and thus, suffered the impugned Order dated 16.10.2025.

¶4It is noticed that the limitation for filing an appeal under Section 107 of the respective GST enactments, 2017 against the impugned Order has already expired. The present Writ Petition has been filed only on 23.02.2026.

¶5At this stage, the learned counsel for the Petitioner submits that the Petitioner is willing to pre-deposit 10% of the disputed tax as a condition for denovo adjudication.

¶6The learned counsel for the Petitioner has also made an endorsement to that effect in the Court bundle, which is extracted hereunder:- " The petitioner undertakes to pay 10% of the disputed tax."

¶7Under similar circumstances, Orders have been quashed and cases have been remitted back to the respondent to pass a fresh order on terms subject to such Assessee depositing 10% to 100% of the disputed tax depending upon the length of delay in approaching the Court. I do not find any reason to take a different view in this case.

¶8Therefore, to balance the interest of both parties viz., the Assessee and the Revenue, the case is remitted back to the Respondent to pass a fresh order on merits subject to the Petitioner depositing 10% of the disputed tax in cash or from the Petitioner's Electronic Cash Register within a period of thirty (30) days from the date of receipt of a copy of this order.

¶9Within such time, the Petitioner shall also file a reply to the Show Cause Notice in GST DRC-01 dated 04.07.2025 together with requisite documents to substantiate the case by treating the impugned Order dated

16.10.2025 as an addendum to the Show Cause Notice dated 04.07.2025.

¶10In case the Petitioner complies with the above stipulations, the Respondent shall proceed to pass a final order on merits and in accordance with law as expeditiously as possible, preferably, within a period of three (3) months of such reply/pre-deposit. Subject to the Petitioner complying with the above stipulations, the attachment of the bank account of the Petitioner if any, shall also stand automatically vacated.

¶11It is made clear that bank attachment shall be lifted subject to the Petitioner depositing 10% of the disputed tax as ordered above and the Petitioner not being in arrears of any other amount for any other tax period barring the amount demanded under the impugned Order.

¶12In case the Petitioner fails to comply with any of the stipulations, the Respondent is at liberty to proceed against the Petitioner to recover the tax in accordance with law as if this Writ Petition was dismissed in limine today.

¶13Needless to state, before passing any such order, the Respondent shall give due notice to the Petitioner.

¶14This Writ Petition stands disposed of with the above observations. No costs. Connected Writ Miscellaneous Petitions are closed.

03.03.2026 Vv To: The State Tax Officer, Kundrathur Assessment Circle, 4/109, Bangalore Chennai Highway, Varadarajapuram, Nazarathpet, Chennai-600 123.

C.SARAVANAN, J. Vv and W.M.P.Nos.8128 and 8132 of 2026

03.03.2026

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 03.03.2026 CORAM : THE HONOURABLE MR.JUSTICE C.SARAVANAN and W.M.P.Nos.8128 and 8132 of 2026 M/s.Rathina Stores, Represented by its Proprietor, Sundarapandian Varatharaj ... Petitioner Vs. The State Tax Officer, Kundrathur Assessment Circle, 4/109, Bangalore Chennai Highway, Varadarajapuram, Nazarathpet, Chennai-600 123. ... Respondents Prayer : Writ Petition filed under Article 226 of the Constitution of India, for issuance of a Writ of Certiorari, calling for the records pertaining to the impugned order passed by the respondent against petitioner's firm vide GSTIN:33AHTPV7934N1Z8 in order Reference No.ZD331025176106Q dated 16.10.2025 for the Assessment Year 2021-2022 and quash the same. For Petitioner : Mr.K.M.Malarmannan For Respondent : Mr.V.Prashanth Kiran Government Advocate