Facts of the Case

The respondent Commercial Tax Officer, Kodaikanal, proceeded against the petitioner's father, the assessee S.M.Chandrasekar, by issuing notices in Form GST DRC-01 and DRC-01A relating to GSTIN 33AAOPC2533J1ZX for the tax period April 2018 to March 2019, followed by reminders dated 05.03.2024, 12.03.2024 and 03.04.2024, and eventually passed the impugned assessment order dated 17.04.2024 in Form GST DRC-07 (Ref No.ZD330424136523P), directing recovery of the resultant demand. The petitioner, as one of the legal heirs of the deceased assessee, challenged the assessment order before the Madras High Court seeking an opportunity to file a reply as legal representative and to halt recovery in the meantime, at the stage of admission itself.

Issues Involved

  1. Whether a GST assessment order passed against an assessee who has since died, without the participation of the legal heirs, can be sustained.
  2. Whether the legal heir should be granted an opportunity to respond to the preceding notices before a fresh order is passed.

Petitioner's Arguments

  • The petitioner, as legal heir of the deceased assessee, sought one opportunity to file a reply to the notices that preceded the impugned assessment order.

Respondent's Arguments

  • The Government Advocate for the respondent did not seriously oppose the grant of such an opportunity once the fact of the assessee's demise was placed before the Court.

Court Order / Findings

  • Considering that the assessment order had been passed against the deceased person, the Court set aside the impugned order and remitted the case to the respondent to pass fresh orders.
  • The petitioner was directed to file a reply, as legal representative of the deceased assessee, to the notices that preceded the impugned order within thirty days.
  • The respondent was directed to pass appropriate orders thereafter on merits and in accordance with law, expeditiously, after hearing the petitioner.

Important Clarification

  • Where GST assessment proceedings culminate in an order concerning a taxpayer who has since died, without the legal representatives being brought on record and heard, the resulting order cannot be sustained.
  • The appropriate course is to set aside the order and remit the matter, granting the legal heir a defined opportunity to file a reply as legal representative and to be heard before any fresh order is passed.

Sections Involved

  • Section 93, CGST Act, 2017 — liability in respect of a deceased taxable person, underlying the requirement to proceed against legal representatives.
  • Form GST DRC-01 and DRC-01A — pre-notice intimation and formal show cause notice under the CGST Rules, 2017.
  • Principles of natural justice — right of the legal representative to be heard before an adverse order is passed.

Decision – In Favour of

In favour of the Assessee (legal heir). The impugned order was set aside and the matter remitted for a fresh order after hearing the legal heir.

Case Details

Madras High Court (Madurai Bench); W.P.(MD) No.15190 of 2025 and W.M.P.(MD) No.11474 of 2025; Coram: Hon'ble Mr. Justice C. Saravanan; Date of Order: 04.06.2025.

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