Remand granted upon pre-deposit of ten percent disputed tax due to violation of natural justice.

The Petitioner, a proprietary concern, challenged an assessment order dated 22.12.2025 issued by the Respondent under the GST regime for the period 2021-2022.

The Petitioner contended that the impugned order was passed without providing a reasonable opportunity to contest the tax demand on merits.

Consequently, the Petitioner filed a writ petition under Article 226 of the Constitution of India seeking a Writ of Certiorarified Mandamus to quash the order and seek a fresh proceeding.

During the proceedings, the Petitioner agreed to remit 10% of the disputed tax demand as a condition for the matter to be remanded for reconsideration.

1. Whether the impugned assessment order was liable to be set aside on the grounds of violation of the principles of natural justice due to the lack of a reasonable hearing.

The court applied the principles of natural justice, specifically the right to a reasonable opportunity of being heard before an adverse tax demand is finalized.

The court exercised its discretionary jurisdiction under Article 226 of the Constitution of India to ensure procedural fairness.

The court also applied the principle of conditional remand, where a percentage of the disputed tax (10%) is deposited to demonstrate bona fides when seeking the reopening of an assessment.

The Court observed from the records that the impugned order dated 22.12.2025 was indeed issued without hearing the Petitioner.

Recognizing the procedural lapse regarding the "reasonable opportunity" to contest the demand on merits, and taking note of the Petitioner’s voluntary undertaking to remit 10% of the disputed tax, the Court determined that a remand was appropriate.

The Court reasoned that the interests of justice would be served by setting aside the order and allowing the Respondent to conduct a fresh assessment, provided the Petitioner complies with the monetary condition to secure a portion of the revenue's interest.

The holding is subject to the condition that the Petitioner remits 10% of the disputed tax demand within thirty days of receipt of the order. Upon such remittance, the Respondent is directed to provide a reasonable opportunity to the Petitioner and issue a fresh order within three months.

The Writ Petition was disposed of with no order as to costs and the connected miscellaneous petition was closed.