Haarine Associates Vs Assistant Commissioner (ST)(FAC) (Madras High Court)
The Hon’ble Madras High Court in Haarine Associates v. Assistant Commissioner (ST)(FAC) [Writ Petition No.15691 of 2024 and W.M.P. Nos.17100 to 17102 of 2024 dated June 24, 2024], set aside an assessment order because the order was issued without providing an opportunity to address the discrepancies. Consequently, the court agreed with the Assessee to remit 10% of the disputed tax demand within two weeks and allowed the submission of reply to the show cause notice (“the SCN”).
Facts:
M/s. Haarine Associates (“the Petitioner”), filed returns for the assessment period 2017-18.
The Petitioner’s FORM GSTR 1 statement, FORM GSTR 3B and the annual return reflected the turnover from July 01, 2017 to March 31, 2018. Subsequently, FORM ASMT-10 was issued on July 05, 2023. Thereafter, on August 07, 2023 a SCN was served and personal hearing was conducted on September 15, 2023.
The Petitioner contended that the period from April 01, 2017 to June 30, 2017 was the pre-GST period, he submits that there would be a mismatch between FORM 26 AS and the petitioner’s GST returns. Merely on the basis of such mismatch, that tax liability was imposed on the Petitioner. Further, the Petitioner agreed to remit 10% of the disputed tax demand as a condition for remand.
