The Madras High Court while quashing the summary order held that non-issuance of Form DRC-01 by state tax officer led to a procedural violation.
The bench of Justice Krishnan Ramasamy has observed that the department has issued a notice in Form DRC-01A on 05.12.2024 and without issuing a notice in Form DRC-01, the department has issued a summary order in Form DRC-07, which is also evident from perusing the records. Before issuing summary order in Form DRC07, it is mandatory to issue notice in Form DRC-01. If any notice is issued without issuing Form DRC-01, it is not in accordance with law and the same is liable to be set aside.
The department/respondent issued a notice in Form DRC-01A on 05.12.2024 and without issuing notice in Form DRC-01, the respondent straight away issued a summary order in form DRC-07 dated 14.02.2025. Hence, sought an opportunity to file a reply by treating the from DRC-01A notice as show cause notice.
The court quashed the order and directed the petitioner to file a reply by treating the notice in Form DRC-01 as show cause notice, within a period of four weeks from the date of receipt of a copy of this order. On filing of such reply by the petitioner, the department shall consider the same and issue a 14 days clear notice, by fixing the date of personal hearing, to the petitioner and thereafter, pass appropriate orders on merits and in accordance with law, after hearing the petitioner, as expeditiously as possible.
Case Details
Case Title: Tvl.P.S.K.Traders Versus The State Tax Officer
Case No.: W.P.No.26605 of 2025
Date: 12.08.2025
Counsel For Petitioner: P.Arumugam
Counsel For Respondent: T.N.C.Kaushik
