Liyakhat Ali Vs Commissioner (Kerala High Court)
The petitioner, engaged in the sale of chicken meat at Manjeri, Kerala, filed a writ petition before the Kerala High Court seeking intervention regarding alleged tax evasion in the sale of frozen chicken. The petitioner claimed that frozen chicken transported from other states was being sold in Kerala as a 0% GST item, while the correct GST rate applicable is 5%. He alleged that certain dealers were deliberately showing the lower tax rate on invoices, effectively evading the statutory tax. The petitioner initially submitted a complaint (Exhibit P4) to the enforcement authorities but alleged inaction, prompting the present writ petition seeking directions for investigation and periodic inspections of chicken transportation into the state.
The petitioner requested the Court to call for records related to responses issued by the respondents (Exhibits P5–P9), direct the authorities to investigate the complaint within three months, instruct enforcement officers to inspect transportation of taxable chicken goods across state borders, and submit periodic reports, among other reliefs. He also sought exemption from translating documents into the vernacular language.
The respondents, through a statement, acknowledged receipt of the petitioner’s complaint filed on 23 September 2024. They explained that the complaint had been forwarded to the Deputy Commissioner (Enforcement), Ernakulam, as vehicle checking activities are not assigned to the Intelligence Wing. The Malappuram Intelligence Unit conducted an enquiry and verified invoices submitted by the petitioner. The report indicated that all the bills reflected frozen chicken at 0% GST, contrary to the actual applicable 5% rate. The respondents stated that if tax evasion is confirmed, appropriate action would be taken. Additionally, the petitioner had filed an RTI application on 3 October 2024 seeking details of action taken, which was responded to on 16 October 2024.
