Altec Fabricators Vs Assistant Commissioner (Madras High Court)
Summary: The Madurai Bench of the Madras High Court considered a writ appeal filed by M/s. Altec Fabricators against the order of the learned Single Judge directing the appellant to deposit 25% of the disputed tax amount of Rs.5,23,09,082/- within six months.
The appellant had challenged an order in Form GST DRC-07 bearing Reference No. ZD330824285003J dated 30.08.2024, under which the first respondent demanded CGST of Rs.2,61,54,541/- and SGST of Rs.2,61,54,541/-. The demand arose following scrutiny of statutory monthly returns for the financial year 2019–2020. According to the appellant’s submissions, the show cause notice dated 27.05.2024 was uploaded on the GST portal and was not served through any other mode. The issues raised concerned reconciliation of E-way Bill turnover with GSTR-01, reconciliation of turnover reported in GSTR-07 with supplies declared in GSTR-09, and interest liability arising from delayed filing of GSTR-3B.
The appellant stated that the total tax demand was Rs.5,23,09,082/-, comprising CGST and SGST of Rs.2,61,54,541/- each. Interest was stated to be Rs.4,37,94,841/-, comprising CGST of Rs.2,18,69,777/-, SGST of Rs.2,18,69,777/- and IGST of Rs.45,387/-. Penalty was stated to be Rs.52,30,908/-, comprising CGST and SGST of Rs.26,15,454/- each. It was further submitted that the first respondent proceeded to pass the impugned order dated 30.08.2024 along with a detailed order dated 22.08.2024 under Section 73 of the CGST Act, 2017, without affording an adequate opportunity to respond to the show cause notice.
