The Madras High Court has decided to cancel a tax order that was issued against a person who has passed away. The court ruled that the order was invalid and had no legal standing.
It was outlined by the order passed by Justice Mohammed Shaffiq that tax proceedings started under the name of a deceased person do not have jurisdiction and breach the norms of natural justice.
Mrs. Lakshmi Periyasamy, the applicant has submitted a writ petition contesting the assessment order on June 1, 2022, issued for the FY 2020-2021. She claimed that her husband, Mr. Periyasamy, passed away dated November 17, 2020, and that the impugned order was issued posthumously.
The court mentions the prior rulings comprising the case of R. Unnikrishnan v. Union of India, which reaffirmed that assessment orders issued against deceased individuals are non-est in law.
The contention of the respondent has been considered by the court that the order can be appealed however the case is appropriate for the breach under Article 226 of the Constitution, provided the jurisdictional fault.
It provided the GST authorities the liberty to provide a fresh notice to the legal heirs within 30 days ensuring compliance with statutory procedures.
The related Government Advocate of the respondents has provided that the order is an appealable order and this writ petition shall not be entertained.
The court marked the fact that the jurisdiction under Article 226 shall not be entertained when there is another remedy, it is not an absolute bar though is a self-imposed restriction and has exceptions drawn from the aforesaid rule, one of the exceptions is where the order is without jurisdiction.
It noted that the incurred assessment under the name of the deceased person has been carried out to be a nullity and shall counted within the exception to the rule of the alternate remedy.
It was provided by the respondents that they may be allotted liberty to provide the common notice before the legal heirs of the deceased Periyasamy, within thirty days from the receipt date of a copy of this order and subsequently moved under the law.
Therefore, the Madras High Court against a deceased individual makes the Goods and Services Tax (GST) assessment order invalidated, stressing the jurisdictional imperfections and ensuring compliance with statutory procedures for legal heirs.
| Case Title | Mrs.Lakshmi Periyasamy vs. State Tax Officer |
| Citation | W.M.P. Nos.37093 and 37098 of 2024 |
| Date | 26.11.2024 |
| For Petitioner | Mr.A.Sheik Peer |
| For Respondents | Mr.G.Nanmaran |
| Madras High Court | Read Order |
