Asterlakshya Builders And Developers Private Limited Vs Deputy Commissioner of State Tax (Kerala High Court)
Summary: The Kerala High Court disposed of a writ petition filed by Asterlakshya Builders And Developers Private Limited challenging a consolidated show cause notice, an order and FORM GST DRC-01A covering multiple financial years. The challenge concerned Ext.P1 consolidated show cause notice issued by the first respondent for financial years 2019-2020 to 2023-2024, Ext.P3 order passed by that respondent and Ext.P7 FORM GST DRC-01A issued by the second respondent. The petitioner contended that issuing composite notices and orders for multiple assessment years was legally unsustainable, relying on Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] and Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467]. After hearing the petitioner’s counsel and the Government Pleader, the Court accepted this submission, noting that the Division Bench had already entered such a finding in the cited decisions. Applying those principles, the Court quashed Exts.P1, P3 and P7. It nevertheless granted the respondents liberty to issue separate notices for the relevant assessment years. For computing limitation for initiating fresh proceedings, the Court directed exclusion of the period from the date of Ext.P3 order until receipt of a certified copy of the judgment. All other contentions of the parties were expressly left open.
Cases Discussed
- Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467] (Kerala High Court) — Invoked by the petitioner and followed by the Court on the legal unsustainability of composite proceedings covering multiple assessment years.
- Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] (Kerala High Court) — Invoked by the petitioner and followed by the Court on the same issue concerning composite notices and orders for multiple assessment years.
FULL TEXT OF THE JUDGMENT/ORDER OF KERALA HIGH COURT
This writ petition is submitted by the petitioner challenging Ext.P1 consolidated Show Cause Notice which was issued by the 1 st respondent for multiple financial years namely, 2019-2020 to 2023-2024, Ext.P3 order passed by the 1st respondent and Ext.P7 FORM GST DRC-01A issued by the 2nd respondent. The main challenge raised against the sustainability of the same is that, issuance of a composite notice, order and FORM GST DRC01A for multiple assessment years was found to be not legally sustainable as per the decision rendered by this Court in Joint Commissioner (Intelligence & Enforcement) v. M/s. Lakshmi Mobiles Accessories [2025 KHC OnLine 149] and Tharayil Medicals (M/s.), Thrissur v. Deputy Commissioner, Thrissur [2025 KHC OnLine 467].
2. After hearing the learned counsel for the petitioner and the learned Government Pleader for the respondents, I find merits in the said submission, in view of the fact that, such a finding was indeed entered into by the Division Bench of this Court in the decisions referred to above.
In such circumstances, in the light principles laid down by this Court in the above referred judgments, an interference is required. Accordingly, this writ petition is disposed of, quashing Exts.P1, P3 and P7, granting liberty to the respondents to issue separate notices for the relevant assessment years. However, the period from the date of Ext.P3 order till the date of receipt of a certified copy of the judgment shall be excluded while computing the period of limitation for initiating fresh proceeding. All the other contentions of the parties are left open.
