The Hon’ble High Court of Madras vide its order dated 20.06.2022 in the matter of M/s Anantham Retail Private Limited Vs. State Tax Officer – Writ Petiton (MD) Nos. 11376, 11384 and 11410 of 2022 and W.M.P. (MD) Nos. 8094, 8098 and 8113 of 2022, held that the Assessment Orders and then recovery notice based on the said orders to the Bank of the Petitioner, without issuance of Show Cause Notice are not sustainable, thus liable to be quashed.

The Petitioner preferred the present Writ Petitions challenging the impugned orders all dated 31.01.2022, whereby liability of tax, amounting to Rs. 2,06,48,214/- [In W.P. (MD) No. 11376/2022], Rs. 2,46,59,465/- [In W.P. (MD) No. 11384/2022], Rs. 4,46,77,601 [In W.P. (MD) No. 11410/2022], was raised against the Petitioner.

Facts: –

• The Petitioner were engaged in trading of textiles, garments and have their showrooms in Kumbakonam and Thanjavur. Furter, the Partnership firms were dissolved and the Petitioner Company was formed in 2019, which carried on the same trading activities from the three showrooms of the separate partnership firms in Ramanathapuram, Kumbakonam and Thanjavur.
• That inspection, under Section 67, was conducted in three showrooms from 14.09.2021 to 16.09.2021 and the inspection team found certain irregularities in the transactions of the dealers, and based on the inspection report, a revision of assessment was made, as a result an intimation in DRC-01A was issued.

To read more subscribe today: www.taxo.online