Harish Kumar M. Vs State of Kerala (Kerala High Court)
Summary: The Kerala High Court, in Harish Kumar M. Vs State of Kerala, WP(C) No. 33413 of 2026, decided on 1 October 2026, quashed a consolidated GST show cause notice covering five financial years, from 2020-21 to 2024-25. The Court held that the challenge to the composite notice was supported by earlier Division Bench judgments declaring such consolidated notices for multiple assessment years legally unsustainable. The petitioner, proprietor of Nest Builders and Architects, had challenged the notice issued by the Deputy Commissioner (Intelligence), State GST Department, Idukki.
The petitioner relied on two decisions of the Kerala High Court: Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] and Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467]. After hearing the petitioner, the Government Pleader and the Standing Counsel, the Court accepted the submission that the Division Bench had already ruled against the sustainability of composite notices covering multiple assessment years.
Accordingly, the High Court quashed Exhibit P1, the consolidated show cause notice dated 20 August 2026. However, the Court expressly granted the respondents liberty to issue separate notices for the relevant assessment years. The ruling therefore invalidated the combined notice without finally deciding the underlying tax allegations or preventing the authorities from commencing fresh proceedings in accordance with law.
The Court also directed that the period from the date of Exhibit P1 until the date of receipt of a certified copy of the judgment would be excluded when computing the limitation period for initiating fresh proceedings. All other contentions were left open. Importantly, the limitation exclusion in this judgment begins from the date of the composite show cause notice itself, and the Court did not quash any separate adjudication order.
List of Cases Discussed / Relied Upon:
1. Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] (Kerala High Court) — Relied upon for the Division Bench finding against the legal sustainability of composite GST notices issued for multiple assessment years.
2. Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467] (Kerala High Court) — Relied upon as another Division Bench authority supporting interference with a consolidated show cause notice covering multiple financial years.
FULL TEXT OF THE JUDGMENT OF KERALA HIGH COURT
This writ petition is submitted by the petitioner challenging Ext.P1 consolidated Show Cause Notice which was issued by the 2nd respondent for multiple financial years namely, 2020-2021 to 2024-2025. The main challenge raised against the sustainability of the same is that, issuance of a composite notice for multiple assessment years was found to be not legally sustainable as per the decision rendered by this Court in Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] and Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467].
2. After hearing the learned counsel for the petitioner, the learned Government Pleader and the learned Standing Counsel for the respondents, I find merits in the said submission, in view of the fact that, such a finding was indeed entered into by the Division Bench of this Court in the decisions referred to above.
In such circumstances, in the light principles laid down by this Court in the above referred judgments, an interference is required. Accordingly, this writ petition is disposed of, quashing Ext.P1, granting liberty to the respondents to issue separate notices for the relevant assessment years. However, the period from the date of Ext.P1, till the date of receipt of a certified copy of the judgment shall be excluded while computing the period of limitation for initiating fresh proceeding. All the other contentions of the parties are left open.
