Sri Modern Agencies Vs State Tax Officer (Madras High Court)
Madras High Court, in the case of Sri Modern Agencies Vs State Tax Officer, has quashed an impugned GST order dated February 18, 2025, concerning the assessment year 2020-21. The petitioner, Sri Modern Agencies, argued that the order incorrectly stated no reply was filed in response to a show cause notice (DRC 01 dated November 29, 2024).
The petitioner demonstrated that a reply had indeed been submitted on January 22, 2025, and was duly acknowledged in Form GST DRC 06. Despite this, the tax officer’s order proceeded as if no response was received, and a subsequent application for rectification filed by Sri Modern Agencies on May 8, 2025, was rejected on June 10, 2025.
Considering the evidence, the High Court determined that the tax officer’s oversight warranted intervention. The Court, therefore, quashed the original order and remitted the case back to the State Tax Officer. The directive mandates the officer to pass a fresh order on merits, in accordance with the law, within three months from the receipt of the High Court’s order. Crucially, the fresh proceedings must include due consideration of Sri Modern Agencies’ reply and an opportunity for the petitioner to be heard. This judgment underscores the importance of adhering to procedural fairness in tax assessments.
