Andhra Pradesh High Court - Amravati
M/S. Tera Software Limited vs The Assistant Commissioner State Tax on 11 March, 2026
Author: R Raghunandan Rao
Bench: R Raghunandan Rao
APHC010086972026
IN THE HIGH COURT OF ANDHRA PRADESH
AT AMARAVATI [3529]
(Special Original Jurisdiction)
WEDNESDAY, THE ELEVENTH DAY OF MARCH
TWO THOUSAND AND TWENTY SIX
PRESENT
THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO
THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR
WRIT PETITION NO: 6870/2026
Between:
1. M/S. TERA SOFTWARE LIMITED,, 14-41-5, RAJA BHAVAN,
MORRISPET, TENALI - 522 022. GUNTUR DISTRICT. STATE OF
ANDHRA PRADESH. REP. BY ITS MANAGER-ACCOUNTS AND
AUTHORISED SIGNATORY MR.B.V.GIRI BABU
...PETITIONER
AND
1. THE ASSISTANT COMMISSIONER STATE TAX, TENALI CIRCLE,
TENALI. STATE OF ANDHRA PRADESH-522201.
2. THE ANDHRA PRADESH STATE FIBERNET LIMITED, 3RD FLOOR,
NTR ADMINISTRATIVE BLOCK, PANDIT NEHRU BUS STATION, NH-
65, VIJAYAWADA. KRISHNA DISTRICT.-520013. REP. BY ITS
MANAGING DIRECTOR
3. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL
SECRETARY, REVENUE (CT) DEPARTMENT, A. P. SECRETARIAT,
AMARAVATI-522237.
...RESPONDENT(S):
Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue Wirt of Mandamus or any other appropriate Writ or Order or Direction declaring the action of the 1st Respondent in passing the Proceedings in Form GST DRC-07, dated 15.11.2025, and issuing 3 separate 2 RRR, J & TCDS, J W.P.No.6870 of 2026 Summery of the Order in Form GST DRC-07 dated 15.11.2025 for three tax periods, levying IGST, SGST and CGST totaling to Rs.3,62,90,367/-, Penalty under Section 73 of Rs.15,29,312/-, Penalty under Section 74 of Rs.2,09,97,242/- and Penalty under Section 122 (1) (ii) of Rs.2,90,16,617/- under the CGST / SGST Acts,2017 and Interest of Rs.3,26,42,692/-, totalling to Rs.12,04,76,230/- for the tax period July, 2017 to August, 2019, by passing a Composite Order under the Goods and Service Tax Act 2017, without considering the objections of the Petitioner, dated 15.10.2025, without granting an opportunity of personal hearing to the Petitioner, without signature on the Summery of the Orders in Form GST DRC-07 dated 15.11.2025, without issuing prior notice under Rule 142(1-A) of the CGST/SGST Rules, 2017 as arbitrary, contrary to law, without jurisdiction and against the Principles of Natural Justice and Rule of Law, contrary to the Article 14 and 21 of the Constitution of India, and consequently set aside the Proceedings in Form GST DRC-07, dated 15.11.2025 passed by the 1st Respondent as null and void and pass IA NO: 1 OF 2026 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to Suspend the operation of the composite Proceedings in Form GST DRC-07, dated 15.11.2025 and summery of the orders in Form GST DRC-07 dated 15.11.2025 passed by the 1st Respondent, for the tax periods 01 .07.2017 to 31 .08.2019 under the CGST / SGST Acts 2017, pending disposal of the above Writ Petition, as otherwise, the Petitioner will be put to severe loss and hardship.
Counsel for the Petitioner:
1. SHAIK JEELANI BASHA Counsel for the Respondent(S):
1. GP FOR COMMERCIAL TAX 3 RRR, J & TCDS, J W.P.No.6870 of 2026 The Court made the following Order:
(per Hon'ble Sri Justice R. Raghunandan Rao) Heard Sri Shaik Jeelani Basha, learned counsel for the petitioner and the learned Government Pleader for Commercial Taxes appearing for the respondents.
2. The petitioner is a registered Company, which has been served with an order of assessment, dated 15.11.2025, passed by the 1st respondent.
This order of assessment covers the period from 2017-18 to 2019-20.
3. The petitioner, after having raised various grounds of challenge, has pressed the ground that, a single order of assessment, issued for more than one financial year, would be violative of the provisions of Section 73 and Section 74 of the GST Act, 2017, and consequently, set aside the impugned order of assessment.
4. A Division Bench of this Court, in W.P.No.11028 of 2025 & batch, after considering the said question, had held that, a single show-cause notice or a single composite assessment order, cannot be passed, in relation to more than one tax period of either a month if the assessment is taken up before the due date for filing of the annual return or for more than one year if the due date for filing of annual return has been reached.
5. The petitioner has raised various grounds of challenge. However, the petitioner is pressing the primary ground of the order of assessment being 4 RRR, J & TCDS, J W.P.No.6870 of 2026 a composite order of assessment. In that view of the matter, the present Writ Petition is being disposed of, on this ground of challenge, leaving open the other grounds of challenge.
6. Accordingly, this Writ Petition is disposed of, setting aside the impugned order of assessment, dated 15.11.2025, and remand back to the respondents, leaving it open to the respondents to initiate fresh proceedings, for each assessment year separately. Needless to say, the period from the date of issuance of the impugned order of assessment till the date of receipt of this order shall be excluded for the purposes of limitation. There shall be no order as to costs.
As a sequel, pending miscellaneous applications, if any, shall stand closed.
________________________ R. RAGHUNANDAN RAO, J _________________ T.C.D. SEKHAR, J Date:11.03.2026 MJA 5 RRR, J & TCDS, J W.P.No.6870 of 2026 188 THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 6870/2026 (per Hon'ble Sri Justice R. Raghunandan Rao) 11.03.2026 MJA