Case Note & Summary
The petitioner, Oxygen Fuels, a sole proprietorship represented by its proprietor Mohammed Saffick Guddhus, filed a writ petition under Article 226 of the Constitution of India before the Madras High Court. The petitioner challenged an ex parte assessment order dated 20-12-2025 passed by the Assistant Commissioner (ST), Peelamedu North Circle, Coimbatore, for the financial year 2021-22 under GST. The order was passed without giving the petitioner an opportunity of hearing, and the appeal period had already expired. The petitioner contended that their case fell under the 'Zero' liability category, meaning no tax was actually due. The respondent was represented by the Additional Government Pleader. The court, after hearing both sides, observed that considering the petitioner's submission regarding zero liability, some indulgence was warranted. The court permitted the petitioner to file an appeal within thirty days from the date of receipt of the order, which would be entertained without reference to limitation. However, the petitioner was required to pay 10% of the disputed tax amount as a pre-deposit. Upon such payment and filing of the appeal within the stipulated time, the attachment on the petitioner's bank account would be lifted. If the petitioner failed to comply with these conditions, the benefit of the order would stand automatically recalled. The writ petition was allowed with no costs, and the connected miscellaneous petitions were closed.
Headnote
A) Constitutional Law - Writ Jurisdiction - Article 226 of the Constitution of India - Ex parte assessment order - Court permitted filing of appeal beyond limitation subject to 10% pre-deposit of disputed tax amount - Held that indulgence can be shown where assessee claims zero liability and order was ex parte (Paras 2-3).
Issue of Consideration
Whether the High Court should interfere with an ex parte assessment order under GST when the appeal period has expired and the petitioner claims zero liability.
Final Decision
The writ petition was allowed. The petitioner is permitted to file an appeal within thirty days from the date of receipt of a copy of the order, which shall be entertained without reference to limitation. The petitioner has to pay 10% of the disputed tax amount as pre-deposit. Upon remitting the pre-deposit and filing appeal within the stipulated time, the attachment on the petitioner's bank account shall stand lifted. If the petitioner fails to remit the pre-deposit and/or file an appeal within thirty days, the benefit of the order shall stand recalled automatically. No costs. Connected miscellaneous petitions are closed.
Law Points
- Writ of Certiorari
- Ex parte order
- Appeal limitation
- Pre-deposit
- Zero liability
- Article 226
