HC Quashes Assessment Based on Erroneous GSTR‑9 Figures; Permits Manual Filing and Fresh Adjudication

HC Quashes Assessment Based on Erroneous GSTR‑9 Figures; Permits Manual Filing and Fresh Adjudication

The petitioner (Tvl.J K S Construction) filed a Petition under Article 226 of the Constitution of India, praying the Madras High Court to issue a Writ of Certiorarified Mandamus, to call for records on the file of the State Tax Officer (respondent) dated 15.02.2025, issued by the respondent and to quash the same as it is cryptic, non-speaking, illegal, arbitrary, and wholly without jurisdiction and influence the respondent to pass a fresh assessment order by considering the manual annual returns Form GSTR 9 dated 20.06.2025 filed by the petitioner.

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The petitioner is challenging an order dated 15.02.2025 before the Madras High court, passed for the tax period 2020-2021. By the impugned order, the demand proposed in Form GST DRC 01 dated 08.11.2024 has been confirmed.

The Expert counsel for the petitioner presents that there was a mistake in the annual returns filed by the petitioner in GSTR-9 under Rule 80 of the respective Goods and Services Tax Rules. It is submitted that instead of the actual taxable value of Rs.62,76,405, the petitioner has mistakenly entered the amount as Rs.6,27,65,404.76 and As a consequence, the petitioner has been ordered to pay higher tax.

On the other hand, it is noticed that the petitioner is making these statements for the first time before this Court. The petitioner did not acknowledge the notices of personal hearing. The petitioner has also not replied to the notice in Form GST DRC 01, dated 08/11/2024.

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Even though the petitioner may have a case for rectification by filing an application. Consequently, the impugned order dated 15/02/2025 stands quashed by the Court with the condition that the petitioner deposit the admitted tax liability of Rs. 2,00,000 within a period of 30 days. The petitioner shall file a reply to the show cause notice within that time.

The quashed impugned order shall be treated as an attachment to the show cause notice. The respondent then being asked to pass fresh orders as quick as possible after listening the side of petitioner. The petitioner is also given liberty to file a fresh copy of the annual returns in GSTR-9 manually. It was clearly mentioned that in case the petitioner fails to satisfy any of the conditions specified above, it will be deemed as if the Writ Petition was dismissed.