Case Law Details
Srivalli Shipping Andtransport Private Limited Vs Additional Commissioner of Central Tax (Andhra Pradesh High Court)
The Andhra Pradesh High Court set aside a GST assessment order dated 29.12.2025 issued against the petitioner company because the order covered two financial years, namely 2018-19 and 2019-20, through a single composite assessment. The petitioner contended that passing one assessment order for multiple financial years violated Sections 73 and 74 of the GST Act, 2017.
The Court referred to an earlier Division Bench judgment in W.P. No.11028 of 2025 and batch, which held that a single show-cause notice or composite assessment order cannot be issued for more than one tax period or more than one financial year once the due date for filing the annual return has been reached.
Although the petitioner had raised several grounds challenging the assessment, the Court considered only the issue relating to the composite order. On that basis, the writ petition was disposed of by setting aside the impugned assessment order while leaving open the other grounds of challenge.
The Court also granted liberty to the respondents to initiate fresh proceedings separately for each assessment year. It further directed that the period between the passing of the impugned order and receipt of the present order would be excluded for limitation purposes. No order as to costs was passed.
FULL TEXT OF THE JUDGMENT/ORDER OF ANDHRA PRADESH HIGH COURT
Heard Sri Anil Kumar Bezawada, the learned counsel appearing for the petitioner and Smt. Santhi Chandra, the learned Standing Counsel, appearing for the respondents.
2. The petitioner is a registered Company, which has been served with an Order, dated 29.12.2025, passed by the 1st This Order of Assessment, covers the period, 2018-2019 & 2019-2020.
3. The petitioner, after having raised various grounds of challenge, has pressed the ground that, a single assessment order passed, for more than one financial year, would be violative of the provisions of Section 73 and Section 74 of the G.S.T. Act, 2017, and consequently, set aside the orders of assessment/appeals.
4. A Division Bench of this Court, in W.P.No.11028 of 2025 & batch, after considering the said question, had held that, a single show-cause notice or a single composite assessment order, cannot be passed, in relation to more than one tax period of either a month if the assessment is taken up before the due date for filing of the annual return or for more than one year if the due date for filing of annual return has been reached.
5. The petitioner has raised various grounds of challenge. However, the petitioner is pressing the primary ground of the order being a composite order.
In that view of the matter, the present Writ Petition is being disposed of, on this ground of challenge, leaving open the other grounds of challenge.
6. Accordingly, this Writ Petition is disposed of, setting aside the impugned order, dated 29.12.2025, leaving it open to the respondents to initiate fresh proceedings, for each assessment year separately.
7. Needless to say, the period from the date of passing of the impugned order till the date of receipt of this order shall be excluded for the purpose of limitation. There shall be no order as to costs.
As a sequel, pending miscellaneous applications, if any, shall stand closed.
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