IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 26TH DAY OF NOVEMBER, 2019 BEFORE:
THE HON’BLE MRS. JUSTICE S.SUJATHA WRIT PETITION No.54764/2018 (T – RES) BETWEEN:
M/s. MENAKA BAR AND RESTAURANT M/s. KRISHNA BAR No.22, 115-116, COTTONPET MAIN ROAD BANGALORE-560053 ALSO No.19/17, OLD AGRAHARA 6TH CROSS MARIYAPPANAPALYA, BANGALORE-560053 [PETITIONER IS REP. BY ITS PROPRIETOR P.KRISHNASWAMY NAIDU]. …PETITIONER (BY SRI E.I.SANMATHI, ADV.) AND:
1. STATE OF KARNATAKA REP. BY ITS FINANCE SECRETARY GOVERNMENT OF KARNATAKA VIDHANA SOUDHA AMBEDKAR VEEDHI BENGALURU-560001.
2. THE COMMISSIONER OF COMMERCIAL TAXES VANIJYA THERIGE KARYALAYA-1 KALIDAS ROAD, GANDHI NAGAR BENGALURU-560009.
3. COMMERCIAL TAX OFFICER [AUDIT-] 1.1, DVO-1, BANGALORE-560009.
4. THE MANAGING DIRECTOR/ COMPANY SECRETARY KARNATAKA STATE BREWERIES CORPORATION LEVELLE ROAD BENGALURU-560024. …RESPONDENTS (BY SRI T.K.VEDAMURTHY, AGA. FOR R-1 TO R-3.) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE RE-ASSESSMENT ORDERS BEING [i] ORDER PASSED FOR PERIOD APRIL 2013 TO MARCH 2014 UNDER SECTION 39[1] READ WITH SECTION 36[1] AND 72[2] OF THE KVAT ACT BEARING No.CAS ORDER No.235702311/123609919 DATED 30.10.2018 IS ENCLOSED HEREWITH AND MARKED AS ANNEXURE-H [ii] ORDER PASSED FOR PERIOD APRIL 2014 TO MARCH 2015 U/S. 39[1] R/W SECTION 36[1] AND 72[2] OF THE KVAT ACT, 2003 BEARING No.CA ORDER No.216702386/114609929 DATED 30.10.2018 IS ENCLOSED HEREWITH AND MARKED AS ANNEXURE-J AND [iii] ORDER PASSED FOR PERIOD APRIL 2014 TO MARCH 2015 U/S. 39[1] R/W SECTION 36[1] AND 72[2] OF THE KVAT ACT, 2003 BEARING No.CAS ORDER No.216702386/114609929 DATED 30.10.2018 IS ENCLOSED HEREWITH AND MARKED AS ANNEXURE-K, IN SO FAR AS THE PETITIONER IS CONCERNED; AND ETC., THIS PETITION COMING ON FOR PRELIMINARY HEARING, THIS DAY, THE COURT MADE THE FOLLOWING:-
O R D E R The petitioner has challenged the re-assessment orders passed under Section 39[1] read with Section 36[1] and 72[2] of the Karnataka Value Added Tax Act, 2003 [‘Act’ for short] relating to the tax periods 2013-14 to 2015-16.
2. It is the main grievance of the petitioner that though the books of accounts were furnished by the petitioner for verification, no objections were filed to the proposition notice issued by the prescribed authority, no reasonable opportunity was provided before passing the assessment orders impugned herein.
3. Learned Additional Government Advocate would submit that indeed sufficient opportunity was provided to the petitioner. Despite the endorsement issued, providing an opportunity for filing objections and also for personal hearing, no such opportunity was availed by the petitioner.
4. Having regard to the facts and circumstances of the case, this Court is of the considered view that the interest of justice would be met in setting aside the assessment orders impugned. Keeping in mind the principles of natural justice. The impugned orders and demand notices at Annexures-H to N are set aside. The petitioner shall appear before the Prescribed Authority along with objections to the proposition notice on 09.12.2019 without waiting for any notice. The respondent – Prescribed Authority shall provide an opportunity of hearing to the petitioner and conclude the re-assessment after considering the explanation/reply putforth by the petitioner, in accordance with law, in an expedite manner.
Writ petition stands disposed of accordingly.
In view of disposal of the writ petition, I.A-1/2019 stands disposed of.
Sd/- JUDGE NC.