Aatral Associates Vs State Tax Officer (Madras High Court)
In the case of Aatral Associates vs. State Tax Officer, the Madras High Court ruled in favor of the petitioner, who challenged the rejection of their appeal against a penalty imposed under an assessment order. The petitioner had initially paid the tax but filed an appeal only against the penalty. However, the second respondent rejected the appeal, claiming that the penalty alone could not be challenged. The court found this rejection inappropriate, noting that the petitioner had fulfilled their tax liability and was within their rights to contest the penalty. The court set aside the second respondent’s rejection, directing them to take the appeal on record and issue a decision on its merits. The authorities were instructed to provide the petitioner with sufficient opportunity to present their case.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
This writ petition has been filed challenging the impugned order dated 21.03.2023 passed by the 1st respondent.
2. Mr. C.Harsha Raj, learned Additional Government Pleader, takes notice on behalf of the respondents. By consent of the parties, the main writ petition is taken up for disposal at the admission stage itself.
3. The learned counsel for the petitioner would submit that in the present case, the show cause notice dated 20.02.2023 was issued to the petitioner. Thereafter, the impugned assessment order dated 21.03.2023 was passed by the 1st respondent, wherein the tax and penalty were imposed against the petitioner. Pursuant to the said impugned assessment order, only the tax amount was paid by the petitioner. With regard to the imposition of penalty, an appeal was filed by the petitioner. However, the said appeal was rejected, by the 2nd respondent, as not maintainable. Hence, without any other option, this petition has been filed challenging the impugned assessment order passed by the 1st respondent.
