GST
TRT-2025-
Allahabad High Court
Date:-21-10-22
In:-
Issue Favourable to Tax Payer ?:-
Order date – 21 October 2022
Facts –
- The Petitioner, M/s DM Traders, was directed against show cause notice dated 18.08.2022, whereby, the petitioner has been called upon to explain as to why proceeding for cancellation of registration be not initiated against him.
- The show cause notice records that the registration of the petitioner has been suspended w.e.f.18.08.2022.
Issue –
- Whether the show cause notice issued is in order?
Order –
- The Hon’ble High court placed reliance on the decision of the Apex Court in the case of Commissioner of Central Excise, Bungalore vs. Brindavan Beverages (P.) Ltd., (2007) 5 SCC 368 to assert that such a show cause notice cannot be sustained in the eyes of law as the petitioner is not in a position of furnishing any reply to the same in absence of any material or reason given therein for initiation of such cancellation proceeding. In absence of disclosure of allegations in the notice, it becomes a mere formality and the petitioner cannot furnish any reply.
- The court also find that the show cause notice suspending the GST registration of the petitioner w.e.f. 18.08.2022 is due to the proceedings initiated against the petitioner under the GST Act for violation of the provisions in issuing invoice or bill without supply of goods & wrongful availment of the benefits under the Act.
- As the petitioner has approached this Court without furnishing any reply to the show cause notice, the court does not find it a fit case for interference.
- Hence the Petition is disposed of.
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