Velmurgan Starch Industries Vs State Tax Officer (Madras High Court)
The Madras High Court disposed of a writ petition challenging an assessment order dated 30.07.2025 passed by the State Tax Officer. The petitioner contended that all notices and communications were uploaded only on the GST common portal and that they were unaware of the show cause notice. As a result, no reply was filed within the stipulated time, and the impugned order was passed without affording an opportunity of personal hearing. The petitioner submitted that they were now willing to pay 25% of the disputed tax amount and sought an opportunity to present their case.
The respondent submitted that notices had been uploaded on the GST portal and that the petitioner failed to respond. However, it was fairly admitted that no personal hearing was granted before passing the order. The respondent requested remand of the matter subject to payment of 25% of the disputed tax.
The Court observed that while uploading notices on the GST portal constitutes valid service, when repeated reminders receive no response, the officer should explore alternative modes of service prescribed under Section 169(1) of the GST Act. Merely passing an ex parte order by fulfilling procedural formalities would not amount to effective service and could result in unnecessary litigation. The Court emphasized that officers should consider other valid modes, preferably by RPAD, to ensure effective service.
