2023 (3) TMI 122 - HC - VAT and Sales Tax

Validity of assessment orders - no personal hearing was afforded to the petitioner prior to the passing of the respective impugned assessment orders - impugned assessment orders are dated 29.10.2019, the petitioner has received the same only on 30.01.2023 - violation of principles of natural justice - HELD THAT - The date of dispatch of the impugned assessment orders by the respondent is disclosed as 27.01.2023, though the assessment order is dated 29.10.2019. Therefore, the statement of the petitioner that they had received the assessment orders all dated 29.10.2019 only on 30.01.2023 has to be believed - Further as seen from the impugned assessment orders, no personal hearing was afforded to the petitioner. Learned Government Advocate appearing for the respondents has produced the written instructions received by the learned Special Government Pleader (Taxes) from the Assistant Commissioner, (ST), Anna Salai Assessment Circle, Chennai - 6 dated 15.02.2023, wherein they have stated that they are prepared to re-do the assessment. The said instructions received by the learned Special Government Pleader (Taxes) from the respondents is recorded. The matters have to be remanded back to the first respondent for fresh consideration on merits and in accordance with law - the impugned assessment orders are quashed - petition allowed by way of remand.

Summary

Issues:
Challenging assessment orders for violation of principles of natural justice.

Analysis:
The writ petitions challenged assessment orders for the years 2013-14, 2014-15, 2015-16, and 2016-17, citing a lack of personal hearing before passing the impugned orders. The petitioner received the assessment orders on 30.01.2023, despite being dated 29.10.2019. The cover in which the orders were enclosed indicated dispatch on 27.01.2023, supporting the petitioner's claim. It was noted that no personal hearing was granted to the petitioner before issuing the assessment orders.

The Government Advocate for the respondents presented written instructions dated 15.02.2023, expressing readiness to re-do the assessments. Consequently, the High Court decided to quash the assessment orders dated 29.10.2019 and remand the matters to the first respondent for fresh consideration in compliance with the law. In one specific case (W.P.No.4385 of 2023), where a proper show cause notice was not issued, the assessment order was treated as a show cause notice. The petitioner was allowed to respond, and the reply would be considered before final orders were passed.

The judgment directed the first respondent to reevaluate the matters within twelve weeks from the date of the order, ensuring adherence to natural justice principles, including granting the right of personal hearing to the petitioner. The petitioner's representative was instructed to attend a personal hearing on 03.03.2023 at 11:00 a.m. before the first respondent. The writ petitions were disposed of without costs, and connected miscellaneous petitions were closed.