{"id":2616,"date":"2025-02-20T19:56:49","date_gmt":"2025-02-20T14:26:49","guid":{"rendered":"https:\/\/centaxblogs.taxmann.com\/?p=2616"},"modified":"2025-02-20T20:20:29","modified_gmt":"2025-02-20T14:50:29","slug":"order-demanding-tax-and-penalty-upheld-on-trust-operating-a-marriage-hall-for-a-deliberate-attempt-of-tax-evasion-hc","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/order-demanding-tax-and-penalty-upheld-on-trust-operating-a-marriage-hall-for-a-deliberate-attempt-of-tax-evasion-hc","title":{"rendered":"Order Demanding Tax and Penalty Upheld on Trust Operating a Marriage Hall for a Deliberate Attempt of Tax Evasion | HC"},"content":{"rendered":"<pre><strong>Case Details:<\/strong> <a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/gst\/101010000000388998\/order-demanding-tax-and-penalty-was-upheld-on-trust-operating-a-marriage-hall-for-a-deliberate-attempt-of-tax-evasion-hc\">Annai Angammal Arakkattalai (Pre Mahal) Versus Joint Commissioner of GST (Appeals)- (2025) 27 Centax 22 (Mad.)<\/a><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li><strong>Shri Joseph Prabhakar<\/strong>, for the Petitioner.<\/li>\n<li><strong>Shri R.Gowri Shankar<\/strong>, Standing Counsel for the Respondent.<\/li>\n<\/ul>\n<h2><em>Facts of the Case<\/em><\/h2>\n<p>The assessee, a charitable trust operating a marriage hall, filed a petition challenging the order demanding GST liability and penalties. The issue arose when a CGST preventive unit inspected the assessee&#8217;s premises and identified receipts totalling Rs. 3.86 crore for a specified period. The assessee subsequently paid GST and penalty under the cum-tax basis method. A show-cause notice was issued, rejecting the cum-tax basis claim and demanding additional GST and penalties. The assessee contested this, arguing that non-registration was not willful and the tax liability arose from the failure to register, not an attempt to evade taxes. The appeal against the original order was dismissed, prompting the filing of the petition.<\/p>\n<h2><em>High Court Held<\/em><\/h2>\n<p>The Hon\u2019ble High Court held that the entire claim against the assessee arose from its failure to register under the GST Act, and the payment of tax was only made following the inspection. The Court observed that this amounted to a deliberate attempt to evade tax, as the assessee issued receipts as donations to avoid GST. Therefore, the Court upheld the decision of the lower authorities, confirming the GST liability and penalties, and dismissed the writ petition.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: Annai Angammal Arakkattalai (Pre Mahal) Versus Joint Commissioner of GST&hellip;<\/p>\n","protected":false},"author":5,"featured_media":2618,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37,60,189],"tags":[],"class_list":["post-2616","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gst","category-news","category-gst-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Order Demanding Tax and Penalty Upheld on Trust Operating a Marriage Hall for a Deliberate Attempt of Tax Evasion | HC<\/title>\n<meta name=\"description\" content=\"High Court upheld 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