M/S AMAR JYOTHI EXPORTS vs COMMERCIAL TAX OFFICER
- Court
- Karnataka High Court
- 1 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
IN THE HIGH COURT OF KARNATAKA AT DHARWAD
TH
DATED THIS THE 30 DAY OF OCTOBER, 2026
BEFORE
THE HON'BLE MR. JUSTICE T.M.NADAF
WRIT PETITION NO.105175 OF 2026 (T-RES)
BETWEEN:
M/S. AMAR JYOTHI EXPORTS,
REP. BY ITS PROPRIETOR,
CHANDRAHAS BASAPPA HEROOR,
8B236 OPPOSITE TO DIET COLLEGE,
NEAR APMC, ILAKAL, BAGALKOT-587125.
…PETITIONER
(BY SRI. MADAN DESHPANDE, ADVOCATE)
AND:
1. COMMERCIAL TAX OFFICER (AUDIT) 1 BAGALKOT,
VANIJAYA TERIGE BHAVAN, SECTOR NO.7, NAVANAGAR,
BAGALKOT-587101.
2. JOINT COMMISSIONER OF COMMERICIAL TAXES
(APPEALS), CLUB ROAD, BELAGAVI-590001.
…RESPONDENTS
(BY SMT. KIRTILATA R.PATIL, HCGP FOR R1 AND R2)
THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227
OF THE CONSTITUTION OF INDIA, PRAYING TO A) ISSUE A WRIT IN
THE NATURE OF CERTIORARI, ORDER, DIRECTION QUASHING
BEARING NUMBER CTO/AUDIT-1/BGK/2023-24/B DATED 29.11.2023
PASSED BY THE RESPONDENT NO 1 PRODUCED AT ANNEXURE C
AND FORM GST DRC 07 BEARING NUMBER: ZD291123047886
DATED 29.11.2023 FOR THE TAX PERIOD 2018-19 ISSUED BY THE
RESPONDENT NO.1 IS PRODUCED AT ANNEXURE-C1. B) ISSUE A
WRIT IN THE NATURE OF CERTIORARI, ORDER, DIRECTION
QUASHING THE IMPUGNED ORDER APPEAL NO.GST-40/2025-26 ARN
NO.AD2904250432560 DATED 24.06.2025 FOR THE TAX PERIOD
2018-19 PASSED BY THE RESPONDENT NO.2 IS PRODUCED AT
ANNEXURE-D. C) ISSUE A WRIT IN THE NATURE OF MANDAMUS OR
OTHER APPROPRIATE WRIT DIRECTING THE RESPONDENT NO.2 TO
Digitally signed by
THEJAS KUMAR N
Location: High
Court of
Karnataka,
Dharwad Bench
- 2 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
CONSIDER THE APPEAL NO:GST-40/2025-26 ARN
NO.AD2904250432560 FOR THE TAX PERIOD 2018-19 PRODUCED AT
ANNEXURE D ON MERITS. D) GRANT SUCH OTHER AND FURTHER
RELIEF'S AS DEEMED JUST AND APPROPRIATE IN THE
CIRCUMSTANCES, AND IN THE INTEREST OF JUSTICE AND EQUITY.
THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER
WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE T.M.NADAF
ORAL ORDER
This Writ petition is filed by the petitioner seeking
following reliefs:
“a) Issue a writ in the nature of certiorari, order,
direction quashing bearing number CTO/AUDIT-
1/BGK/2023-24/B dated 29.11.2023 passed by the
Respondent no 1 produced at Annexure C And
Form GST DRC 07 bearing number:
ZD291123047886 dated 29.11.2023 for the tax
period 2018-19 issued by the Respondent no.1 is
produced at Annexure-C1 .
b) Issue a writ in the nature of certiorari, order,
direction quashing the impugned order Appeal
No.GST-40/2025-26 ARN No.AD2904250432560
dated 24.06.2025 for the tax period 2018-19
passed by the Respondent no.2 is produced at
Annexure-D .
c) Issue a writ in the nature of Mandamus or other
appropriate writ directing the Respondent no.2 to
consider the Appeal No:GST-40/2025-26 ARN
No:AD2904250432560 for the tax period 2018-19
produced at Annexure D on merits.
d) Grant such other and further relief's as deemed
just and appropriate in the circumstances, and in
the interest of justice and equity.”
- 3 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
2. The facts in brief leading to file present petition
are as under.
2.1 The petitioner is a registered person under the GST
Act, 2017 carrying on the business in Marble and
Granite.
2.2 The order under challenge is for the tax period 2018-
19.
2.3 A demand of tax raised by respondent No.1 under
DRC-01 demanding Rs.32,28,672/- (CGST),
Rs.32,28,672/- (SGST), Rs.19,37,734/- (CGST
interest) and Rs.19,37,734/- (SGST interest), on the
grounds that; (i) there was a mismatch between GST
3B and 2A, (ii) short payment of tax on Reverse
Charge Mechanism (RCM) on Royalty and DMG and
(iii) mismatch between bill of landing and invoice.
2.4 The petitioner appeared and filed his statement of
objections along with documentary evidence.
- 4 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
2.5 Thereafter, respondent No.1 passed the order on
29.11.2023 (Annexure-C) and issued Form GST DRC-
07, demanding a sum of Rs.62,31,248/-. Aggrieved
by the same, petitioner approached respondent No.2
in Appeal No.GST-40/2025-26, however, belatedly by
299 days, i.e., beyond the condonable period of 30
days as prescribed under GST Act, 2017.
2.6 The Appellate Authority dismissed the appeal on the
ground of delay as per observation made in
paragraph No.6, which reads as under:
“6. Thus, considering the provisions of the
CGST Act, 2017 & SGST Act, 2017 and in
the lights of above judgments, it is held that
the First Appellate Authority being a
creature of the statute under the said Acts,
is empowered to condone the delay which is
within the statutorily prescribed period of
one month after completion of prescribed
preliminary limitation period of three
months alone and is not empowered to
condone the delay beyond the said period.”
2.7 Aggrieved by the same, the petitioner is before this
Court, seeking the reliefs supra.
- 5 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
3. Heard, Sri.Madan Deshpande, learned counsel
appearing for the petitioner and Smt. Kirtilata R.Patil,
learned HCGP for appearing for respondent Nos.1 and 2.
4. Sri. Madan Deshpande, learned counsel
appearing for the petitioner submits that, dismissing the
appeal on the ground of delay has curtailed the right of
the petitioner to submit its case before the Appellate
Authority and contended that the original authority has not
properly considered the case on three grounds stated
supra . Learned counsel submits that since the matter
pertains to Tax, the substantial right of the petitioner
would be lost if the petitioner is not given proper
opportunity to put forth its case only on hyper technicality
of delay.
5. In order to support his case, learned counsel
has relied on the judgment of the Co-ordinate Bench of
this Court in W.P.No.102532/2026, disposed on
19.06.2026 to contend that the Co-ordinate Bench, in an
- 6 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
identical matter, where there was a delay of 181 days,
relying on the judgment of the Division Bench of this Court
in W.A.No.100608/2025, disposed on 25.09.2025 and
other two Writ Petitions by the Co-ordinate Bench, allowed
the Writ Petition in part, set aside the order passed by the
Appellate Authority, remanded the matter to the Appellate
Authority while condoning the delay and directed the
respondent No.2 to adjudicate the appeal on merits in
accordance with Section 107 of GST Act, 2017, since the
matter therein was also identical and sought to dispose
the present petition.
6. Learned HCGP argued in support of the order
passed by the Appellate Authority and sought to dismiss
the petition.
7. Having considered the rival submissions, this
Court has perused the entire Writ Petition papers and the
judgment relied on by the petitioner in the aforesaid Writ
Petition.
- 7 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
8. The judgment of the Coordinate Bench in the
aforesaid Writ Petition in W.P.No.102532/2022 reads as
under:
2. The facts, in a nutshell, are that the
petitioner, a partnership firm, registered under the
1
provisions of the Goods and Services Tax Act, 2017 , was
issued a show-cause under Section 73(1) of the Act.
Consequent thereto, an adjudication order dated
26.07.2024 (Annexure-A to the writ petition) was passed
by respondent No.1 – Assistant Commissioner. The said
order was assailed by the petitioner in an appeal filed
under Section 107(1) of the Act before respondent No.2 –
Joint Commissioner. Respondent No.2, by the impugned
order dated 21.07.2025 (Annexure-B to the writ petition),
dismissed the appeal on the ground that there was a
delay of 181 days after the condonable period of 30 days
in filing the said appeal.
3. Being aggrieved, the present petition is filed.
4. Learned counsel for the petitioner submits
that, in similar facts and circumstances, a Division Bench
of this Court in the case of Yallappa Patil vs. Assistant
2
Commissioner and Others , permitted an appeal to be
filed within four weeks and ordered that the same shall be
adjudicated without raising any objection on limitation. A
Co-ordinate Bench of this Court, in various cases, i.e., in
the case of Jai Hind Enterprises vs. Assistant
3
Commissioner of Commercial Taxes and Others as
well as in the case of Bandigisab Maheboobsab
4
Bijapur vs. Assistant Commissioner and Others , in a
similar factual matrix, granted relief and ordered as
under:
“ORDER
a. The petition is allowed in-part.
1
Hereinafter referred to as the ‘Act’
2
W.A.No.100608/2025 order dated 25.09.2025, NC:2025:KHC-D:13250-DB
3
W.P.No.107549/2024 decided on 21.01.2025, NC:2025:KHC-D:1034
4
W.P.No.108239/2025 decided on 05.11.2025, NC:2025:KHC-D:15104
- 8 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
b. The petitioner is permitted to file an appeal
against the cancellation of registration before
the Appellate Authority within four weeks from
the date of the receipt of a copy of this order.
c. In the event, the appeal is preferred within four
weeks as aforesaid, it shall be considered on its
merit and not reject the appeal on the ground of
limitation.
d. In the event, the petitioner would not prefer an
appeal within four weeks as permitted above,
the benefit of the order rendered in the subject
petition would not be available to the
petitioner.”
5. Although the learned AGA vehemently
contends that there is no provision to condone the delay,
having regard to the judgments of the Division Bench and
the Co-ordinate Benches, as noticed above, the writ
petition merits consideration.
6. Hence, the following:
ORDER
a) The writ petition is allowed in part ;
b) The order dated 21.07.2025 passed in Appeal
No.GST-227/2025-26 passed by respondent No.2 –
Joint Commissioner is set aside;
c) The Appeal No.GST-227/2025-26 passed by
respondent No.2 – Joint Commissioner is restored to
file. The delay in filing the said appeal is condoned;
d) The respondent No.2 shall adjudicate the said
appeal on merits in accordance with law;
e) All contentions of the parties, on merits of the
matter, are kept open.”
- 9 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
8. Since the appeal was dismissed only on the
ground of delay as per paragraph No.6 by the Appellate
Authority, which has already been extracted above, the
relief granted in identical matter i.e., Writ Petition supra is
extended to the petitioner in this petition also.
9. For the foregoing reasons, this Court proceeds
to pass the following:
ORDER
i. The Writ Petition is allowed in part.
ii. The order dated 24.06.2025 passed by the
Appellate Authority in GST- 40/2025-26 is
set aside.
iii. The delay in filing the appeal is condoned.
iv. The Appeal No.GST- 40/2025-26 is restored
on the file of respondent No.2 subject to
payment of another 10% of Tax in demand
before the concerned authority within two
weeks from today.
- 10 -
HC-KAR
NC: 2026:KHC-D:17840
WP No. 105175 of 2026
CNR: KAHC020107822026
v. The petitioner shall appear before the
respondent No.2 on 13.11.2026.
vi. The concerned appellate authority is
directed to dispose of the appeal as
expeditiously as possible considering the tax
period within an outer limit of four weeks
from the first appearance.
vii. The deposit of another 10% is condition
precedent to provide an opportunity to the
respondent to put forth his case on merits
and for the respondent No.2 to consider the
matter on merits.
viii. All contentions of the parties are left open.
Sd/-
(T.M.NADAF)
JUDGE
RKM
CT: UMD
List No.: 1 Sl No.: 18