Madras High Court

WP/42059/2026 of C7 GLOBALS Vs The Deputy State Tax Officer-1 on 26 October 2026

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 26-10-2026

CORAM

THE HON'BLE MR JUSTICE KRISHNAN RAMASAMY

WP No. 42059 of 2026

CNR:{HCMA012017842026}

AND

WMP NO. 47199, 47200 & 47205 OF 2026

C7 Globals

Prop.Ravi Sai Prasath,

61,Shop No 2, Madipakkam Main Road,

Madipakkam, Kancheepuram

Chennai-600 091

..Petitioner(s)

Vs

1. The Deputy State Tax Officer-1

Madipakkam Assessment Circle,

Mylapore Taluk office Building

No.46, Greenways Road, III-Floor,

chennai-600 028

2. The Deputy Commercial Tax Officer

Madipakkam Assessment Circle

Mylapore Taluk Office Building No.46,

Greenways Road,III-Floor,Chennai -600 028

3. The Deputy Commissioner Tambaram Zone Greams Road, Chennai

4. The Branch Manager, Axis Bank

Medavakkam High Road,Madipakkam

5. The Branch Manager Canara Bank

IIT Campus,Shopping Complex,

Chennai 600129

6. The Branch Manager City Union Bank

Radial Road,Viduthalai Nagar skolathur

Kovilambakkam- 600129

..Respondent(s)

Prayer:

Writ Petition filed under Article 226 of the Constitution of India, praying for issuance of Writ of Certiorarified Mandamus, calling for the records relating to the Assessment order dated 27.3.2026 passed by the 2nd respondent with the reference No.ZD3303262527759 under section 74 of the Tamilnadu goods and service Tax, Act 2017 for the Assessment year 2019-2020 quash the same as being illegal, aribtary, without jurisdiction and violative of the principles of natural justice and consequently direct the 3rd respondent to defreeze all the bank accounts of the petitioner including the bank account maintained in the name of M/s.Nethra Enterprises under GSTIN 33EHFPS8110F4ZD which have been frozen pursuant to the impugned assessment proceedings and consequently permit the petitioner to operate the said bank accounts, For Petitioner(s):

Mr.K.S.Harish

For Respondent(s):

M/s.G.Dhana Madhri Spl.Gp (t) for R1 to 3

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Order

This writ petition has been filed challenging the impugned order dated 27.03.2026 passed by the respondent.

2. Ms.G.Dhana Madhri, learned Special Government Pleader, takes notice on behalf of the respondents 1 to 3.

3. By consent of the parties, the main writ petition is taken up for disposal at the admission stage itself.

4. The learned counsel for the petitioner would submit that in this case, all notices/communications were uploaded by the respondent in the GST common portal. Since the petitioner had failed to view the portal, they were not aware of the said notices, due to which, they failed to file their reply within the time. Under these circumstances, the impugned order came to be passed by the respondent without providing any opportunity of personal hearing to the petitioner. Hence, this petition has been filed.

5. Further, he would submit that the petitioner has already paid a substantial amount and now, he is ready and willing to pay 25% of the disputed tax amount after deducting the amount already paid to the respondent. Hence, he requests this Court to grant an opportunity to the petitioner to present their case before the respondent by setting aside the impugned order.

6. On the other hand, the learned counsel appearing for the respondent would submit that the respondent had uploaded the notices in the GST Online Portal. But the petitioner failed to avail the said opportunity. Further, she has fairly admitted that no opportunity of personal hearing was provided to the petitioner prior to the passing of impugned order. Therefore, she requested this Court to remit the matter back to the respondent, subject to the payment of 25% of the disputed tax amount by the petitioner.

7. Heard the learned counsel for the petitioner and the respondent and also perused the materials available on record.

8. In the case on hand, it is evident that the show cause notice was uploaded on the GST Portal Tab. According to the petitioner, he was not aware of the issuance of the said show cause notice issued through the GST Portal and the original of the said show cause notice was not furnished to them. In such circumstances, this Court is of the view that the impugned assessment order came to be passed without affording any opportunity of personal hearing to the petitioner, confirming the proposals contained in the show cause notice.

9. No doubt, sending notice by uploading in portal is a sufficient service, but, the Officer, who is sending the repeated reminders, despite the fact that no response from the petitioner to the show cause notices etc., should have applied his/her mind and explored the possibility of sending notices by way of other modes prescribed in Section 169 of the GST Act, which are also the valid mode of service under the Act, otherwise it will not be an effective service, rather, it would only amount to fulfilling the empty formalities. Merely passing an ex parte order by fulfilling the empty formalities will not serve any useful purpose and the same will only pave way for multiplicity of litigations, not only wasting the time of the Officer concerned, but also the precious time of the Appellate Authority/Tribunal and this Court as well.

10. Thus, when there is no response from the tax payer to the notice sent through a particular mode, the Officer who is issuing notices should strictly explore the possibilities of sending notices through some other mode as prescribed in Section 169(1) of the Act, preferably by way of RPAD, which would ultimately achieve the object of the GST Act. Therefore, this Court finds that there has been lack of efforts in exploring the available opportunities to serve the notices/orders etc., effectively on the petitioner.

11. Further, it was submitted by the learned counsel for the petitioner that the petitioner is ready and willing to pay 25% of the disputed tax amount, after deducting the amount already paid to the respondent. In such view of the matter, this Court is inclined to set aside the impugned order dated 27.03.2026 passed by the 2nd respondent. Accordingly, this Court passes the following order:-

(i) The impugned order dated 27.03.2026 is set aside and the matter is remanded to the 2nd respondent for fresh consideration on condition that the petitioner shall pay 25% of the disputed tax amount, after deducting the amount already paid, to the respondent within a period of four weeks from the date of receipt of a copy of this order. The setting aside of the impugned order will take effect from the date of payment of the said amount.

(ii) The petitioner shall file their reply/objection along with the required documents, if any, within a period of three weeks from the date of payment of amount as stated above.

(iii) On filing of such reply/objection by the petitioner, the respondent shall consider the same and issue a 14 days clear notice, by fixing the date of personal hearing, to the petitioner and thereafter, pass appropriate orders on merits and in accordance with law, after hearing the petitioner, as expeditiously as possible.

(iv) Considering the fact that the impugned order itself has been set aside, this Court is of the opinion that the attachment made on the bank account of the petitioner cannot survive any longer. As a sequel, the Bank-respondents 4 to 6 are directed to de-freeze the bank account of the petitioner, immediately upon the production of a copy of this order along with the proof with regard to the payment made by the petitioner as stated above.

12. With the above directions, this writ petition is disposed of. No costs. Consequently, the miscellaneous petitions in WMP.Nos.47200 & 47205 of 2026 are closed. The miscellaneous petition in WMP.No.47199 of 2026, which has been filed to dispense with the production of original assessment order, is ordered. 26-10-2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No nsa To

1. The Deputy State Tax Officer-1 Madipakkam Assessment Circle, Mylapore Taluk office Building No.46, Greenways Road, III-Floor, chennai-600 028

2. The Deputy Commercial Tax Officer Madipakkam Assessment Circle Mylapore Taluk Office Building No.46, Greenways Road,III-Floor,Chennai -600 028

3. The Deputy Commissioner Tambaram Zone Greams Road, Chennai

4. The Branch Manager, Axis Bank Medavakkam High Road,Madipakkam

5. The Branch Manager Canara Bank IIT Campus, Shopping Complex, Chennai 600129

6. The Branch Manager City Union Bank Radial Road,Viduthalai Nagar skolathur Kovilambakkam- 600129

KRISHNAN RAMASAMY J. nsa WP No. 42059 of 2026 26-10-2026

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