Madras High Court rejects GST Demand for Separate Tamil Nadu Branch’s Balance Sheet and Profit and Loss Accounts
An assessment order dated 29.12.2023 is challenged on the ground that the petitioner’s reply was disregarded. Pursuant to an audit under Section 65 of applicable GST enactments, a show cause notice was issued to the petitioner on 30.09.2023. The petitioner replied to the audit report on 28.11.2023. The impugned order was issued thereafter on 29.12.2023.
The Madras High Court invalidated a GST DRC-07 order in favor of Tokyo Zairyo (India) Private Limited. Authorities failed to consider the petitioner’s response adequately, issuing the order despite the submission. Rejection of the reply due to absence at the personal hearing was deemed unjust. Additionally, failure to produce a separate balance sheet and profit & loss account for the Tamil Nadu branch led to the tax demand confirmation. The court set aside the flawed order, instructing a reconsideration with a reasonable opportunity for the petitioner, including a personal hearing, within two months.
The copy of the order is as under:
From,
Krishnakant Jakhotia
Mobile No :- 9422507911
Email Id :- taxtalknew@gmail.com
