HC Directs AO to Permit Assessee to Withdraw 10% of Amount Required for Filing Appeal from Frozen Bank a/c

Case Details: Rathinavel Pandian v. Assistant Commissioner (ST) - [2024] 158 taxmann.com 439 (Madras)

Judiciary and Counsel Details

• • B. Pugalendhi, J.
  • N. Viswanathan for the Petitioner.
  • M. Sarangan for the Respondent.

Facts of the Case

The petitioner was a registered dealer under GST. The department issued a demand notice for recovery of ITC along with interest and penalty. The petitioner filed writ petition against the demand and also contended that the bank account was also frozen.

High Court Held

The Honorable High Court noted that the petitioner was having a statutory appeal remedy against the demand order. Therefore, the Court directed the petitioner to file statutory appeal before the Appellate Authority within a period of four weeks. In the event of filing the appeal within a period of four weeks, the Court directed the Deputy Commissioner to entertain the appeal and pass orders on its merits.

The Court also noted that the issue with regard to the freezing of petitioner’s bank account shall be decided by the Deputy Commissioner. However, as an interim arrangement enabling the petitioner to file the appeal, the Court directed to permit the petitioner to take 10% of the amount required for filing the appeal from his Bank Account.