Facts of the Case

The petitioner, V.Moorthy, suffered an ex parte assessment order dated 19.05.2025 passed by the State Tax Officer, Ramanathapuram Circle, in Form GST DRC-07. By the time the writ petition came to be filed, the statutory period for filing a first appeal under the GST Act had already expired. The petitioner sought quashing of the order and a fresh assessment after being granted a personal hearing.

Issues Involved

  1. Whether an assessee who has suffered an ex parte GST assessment and missed the appeal deadline should be permitted to file a belated appeal in lieu of the writ court examining the order on merits.
  2. On what terms such a belated appeal should be entertained by the appellate authority.

Petitioner's Arguments

  • The impugned order was passed ex parte, in gross violation of the principles of natural justice, and the respondent should be directed to conduct the assessment afresh after granting a personal hearing.

Respondent's Arguments

  • The Government Advocate appeared and the matter proceeded on the standard terms typically applied by the Court in ex parte assessment matters where the appeal period has lapsed.

Court Order / Findings

  • Rather than adjudicate the merits of the ex parte order in writ jurisdiction, the Court permitted the petitioner to pursue the statutory appellate remedy on relaxed terms.
  • The petitioner was permitted to file an appeal within thirty days of receiving a copy of the order, to be entertained without reference to limitation, subject to the petitioner paying 10% of the disputed tax amount as pre-deposit.
  • If the pre-deposit was not remitted and/or the appeal not filed within the stipulated thirty days, the benefit of the order would stand automatically recalled, reviving the original limitation bar.

Important Clarification

  • Where an assessee has missed the limitation period to appeal an ex parte GST assessment, the Madras High Court routinely grants a conditional, time-bound window to file a belated appeal (waiving the limitation objection) provided the mandatory pre-deposit is made — this is treated as an equitable, self-executing remedy rather than a decision on merits.
  • Failure to comply with either condition (timely filing or pre-deposit) causes the relief to lapse automatically, without need for a further order recalling it.

Sections Involved

  • Form GST DRC-07, CGST Rules, 2017 — summary of the assessment order raising the demand.
  • Section 107, GST Act, 2017 — appeal to the appellate authority, including the pre-deposit requirement, whose limitation was relaxed in this order.

Decision – In Favour of

Disposed of with directions, in favour of the Assessee to the extent of restoring the appellate remedy on a conditional basis; no finding was made on the merits of the ex parte assessment itself.

Case Details

Court: Madurai Bench of Madras High Court
Case No.: W.P.(MD) No. 30396 of 2025 and W.M.P.(MD) No. 23014 of 2025
Coram: Hon'ble Mr. Justice G.R. Swaminathan
Date of Order: 28th October, 2025

Link to Download the Order

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