GST – Allahabad High Court: Even in case that the petitioner did not gave response to the show cause notice, it was incumbent to the competent authority to consider the fact of case and come to the conclusion that the facts necessitate canceling of the registration of the petitioner – Petitioner now allowed to file reply to the notice – Writ Petition allowed [Order attached]
Order Date – 15 December 2022
- The petitioner, Acambis Helpline Management Pvt. Ltd. Thru. Director Tauqueer Ahmad is registered with GST authorities and is invovled in the business of man power supply.
- The petitioner has challenged the order dated 03.01.2022 whereby registration of the petitioner has been cancelled in exercise of the power under Section 29 of CGST Act as well as order dated 29.11.2022 where the appeal preferred by the petitioner has been dismissed.
- It is submitted that petitioner was served with a show cause notice dated 02.12.2021 wherein it was stated that the petitioner has not furnished his return for a contentious period of six months under Section 39 of the Central Goods and Services Tax Act. Further, petitioner could not furnish reply to the show cause notice.
- It is further stated that due to the fact that the petitioner did not file any response to the show cause notice, the impugned order dated 03.01.2022 was passed cancelling the registration.
- Whether order cancelling the GST registration is valid ?
- Learned counsel for petitioner has submitted that though the petitioner has a statutory remedy of appeal before the GST Tribunal but the same not having been constituted for the State of Uttar Pradesh, he has preferred present writ petition.
- The order passed either on the administrative side or on judicial side is without any reason or application of mind and hence such an order would not stand the test of scrutiny under Article 14 of the Constitution of India.
- The Hon’ble Court is of the considered view that even in case that the petitioner did not given response to the show cause notice it was incumbent to the competent authority to consider the fact of case and come to the conclusion that the facts necessitate canceling of the registration of the petitioner in exercise of powers under Section 39 of the CGST Act.
- In case, the petitioner files his reply along with certified copy of this order, the respondent shall proceed to pass a fresh order in accordance with law.