GST Registration Cancellation Overturned: Procedural Flaws Exposed, Petitioner Given Chance to Respond and Seek Fair Hearing

HC allowed petitioner's writ challenging GST registration cancellation. Court found procedural irregularities in cancellation order and remanded matter to tax authority. Petitioner granted seven days to submit reply, and authority instructed to pass reasoned order within four weeks, ensuring principles of natural justice are followed.

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Issues involved:
The legality and validity of the order cancelling Goods and Services Tax (GST) registration of the petitioner.

Details of the judgment:
The petitioner, a company providing financial and business support services, had obtained GST registration in 2018. Upon discovering that their registration had been cancelled without receiving the show cause notice mentioned in the order, the petitioner challenged the cancellation order. The petitioner's counsel highlighted inconsistencies in the order, pointing out that while it mentioned the petitioner's reply to the show cause notice, it also stated that no reply was submitted. The Standing Counsel for Commercial Tax agreed that the matter should be remanded to allow the petitioner an opportunity to respond.

The High Court set aside the cancellation order and remanded the matter to respondent No. 5. The petitioner was given the chance to submit a reply to the show cause notice within seven days. Respondent No. 5 was instructed to consider the reply and pass an appropriate order within four weeks, ensuring a fair opportunity of hearing for the petitioner. The writ petition was allowed without costs, and pending applications were closed.

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