Blackfish Technologies Private Limited Vs Assistant Commissioner of Commercial Tax (Karnataka High Court)
The Karnataka High Court allowed a writ petition challenging an Order-in-Original dated 15.12.2025 and the consequential DRC-07 issued under Section 73(9) of the CGST/KGST Acts. The petitioner contended that after receiving a DRC-01 show cause notice on 10.06.2025, it had submitted a detailed reply by email on 02.07.2025 and uploaded the relevant details on the GST portal on 02.08.2025. The petitioner further asserted that the reply was accompanied by 14 supporting documents.
Despite this, the adjudicating authority recorded in the impugned order that the taxpayer had neither filed any reply to the DRC-01 notice nor discharged the applicable liability along with interest and penalty. The petitioner argued that the order had been passed without considering the response and supporting material already submitted.
Upon examining the record, the High Court found that the petitioner had indeed furnished a detailed reply supported by 14 documents. The acknowledgment generated through the GST portal and the email printouts evidencing submission of the reply had also been placed before the Court.
The Court observed that the authority’s statement that no reply had been received was contrary to the record and amounted to a violation of the principles of natural justice. Consequently, the Court quashed both the Order-in-Original and the DRC-07. The matter was remitted to the adjudicating authority for fresh consideration, with directions to consider the petitioner’s reply and documents and provide an opportunity of personal hearing before passing a fresh order.
