Annai Velanganni Industries Vs State Tax Officer (Madras High Court)
Annai Velanganni Industries challenged an ex-parte assessment order and the subsequent rejection of their appeal by the State Tax Officer in the Madras High Court. The core of the dispute arose after the petitioner, a manufacturer of wooden products, became aware of a tax demand only when the recovery wing approached them. The petitioner attributed their lack of knowledge about the assessment proceedings to their reliance on a part-time accountant who failed to inform them and a lack of familiarity with GST procedures and portal access. Following the discovery of the assessment order dated May 20, 2024, the petitioner filed an appeal which was unfortunately rejected by the second respondent on April 8, 2025, solely on the grounds of being significantly delayed by 192 days.
The petitioner contended that the substantial delay in filing the appeal was a direct consequence of the proprietor’s ill-health, which prevented timely action. Aggrieved by the appellate authority’s rejection based on this delay, Annai Velanganni Industries sought recourse through a writ petition before the Madras High Court. During the court proceedings, the learned Government Advocate representing the tax authorities acknowledged the situation and indicated that if the court found a sufficient and reasonable cause for the delay, appropriate orders could be considered.
