Tvl. Gopal Vinod Granites Vs State Tax Officer (FAC) (Madras High Court)
In a recent ruling, the Madras High Court has set aside a Goods and Services Tax (GST) assessment order issued against Tvl. Gopal Vinod Granites, citing a fundamental error where the final order was passed in the name of an incorrect entity, M/s. Balaji Granites Industries, despite the show cause notice being correctly addressed and bearing the petitioner’s GST Identification Number (GSTIN). The decision underscores the critical importance of procedural accuracy and adherence to principles of natural justice in tax administration.
The case originated when Tvl. Gopal Vinod Granites, the petitioner, challenged an assessment order dated January 23, 2024, issued by the State Tax Officer (FAC). The petitioner’s primary contention was that a show cause notice, dated December 16, 2023, initiating the proceedings, was merely uploaded to the GST portal. Crucially, no physical copy of this notice was served to the firm. This lack of direct notification meant that Tvl. Gopal Vinod Granites remained unaware of the impending tax proceedings and, consequently, failed to submit a reply to the allegations contained in the show cause notice.
Following the petitioner’s non-response, the tax authority proceeded to confirm the proposals outlined in the show cause notice and issued the impugned assessment order. It was only belatedly that Tvl. Gopal Vinod Granites became aware of this final order. Upon verification, the firm discovered a significant discrepancy: while the GSTIN mentioned in the assessment order correctly belonged to Tvl. Gopal Vinod Granites, the name of the assessed entity in the order was erroneously stated as M/s. Balaji Granites Industries.
