IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 24TH DAY OF OCTOBER, 2019 BEFORE:
THE HON’BLE MRS. JUSTICE S.SUJATHA WRIT PETITION No.50066/2019 (T – RES) BETWEEN:
VTI INTEGRATED SYSTEMS PRIVATE LIMITED DIVYASHREE NR ENCLAVE, BLOCK A, 4TH FLOOR PLOT No.1, EPIP INDUSTRIAL AREA, WHITEFIELD BENGALURU – 560 066 REPRESENTED BY ITS FINANCE DIRECTOR MR. NIKHIL AGARWAL ... PETITIONER [BY SRI SURYANARAYANA T, ADV.] AND:
DEPUTY COMMISSIONER OF COMMERCIAL TAXES AUDIT – 1.6, DVO-1, BANGALORE-560 022.
…RESPONDENT [BY SRI T.K. VEDAMURTHY, AGA] THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE IMPUGNED ORDER DATED 08.02.2019 PASSED BY THE RESPONDENT U/S 9(2) OF THE TAX CST ACT FOR THE PERIOD 2014-15 (ANNEXURE-B) THIS PETITION COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING:-
O R D E R Learned Additional Government Advocate accepts notice for the respondent.
The petitioner has assailed the assessment order dated 08.02.2019 passed by the respondent Under Section 9(2) of the Central Sales Tax Act, 1956 relating to the assessment year 2014-15 and consequential demand notice dated 08.02.2019 as well as the garnishee notice dated 21.06.2019 issued by the respondent.
2. It is evident from the order impugned that the proposition notice dated 29.12.2018 was returned back by the Indian Postal Authorities with remarks “No such Company in this address and returned”. It is not in dispute that the petitioner’s VAT registration was deregistered with effect from 21.07.2016. The ex-parte order of assessment impugned is passed subsequent to de-registration, the same calls for interference by this court for want of service of notice on the assessee.
3. Accordingly, the order dated 08.02.2019 (Annexure-‘B’), demand notice dated 08.02.2019 (Annexure-‘B’) and the garnishee notice dated 21.06.2019 (Annexure-‘C’) are quashed. The matter is remitted to the respondent - Authority to redo the assessment in accordance with law. The petitioner shall submit the reply/objections before the respondent - Authority within two weeks from today. The petitioner is permitted to appear before the respondent - Authority on 12.11.2019, without awaiting any notice and shall take further orders. The respondent - Authority shall conclude the assessment in an expedite manner after providing an opportunity of hearing to the petitioner - assessee.
With the aforesaid observations and directions, the writ petition stands disposed of.
Sd/- JUDGE PMR/BSS