2024 (10) TMI 133 - HC - GST

GST Registration Cancellation Overturned: Authority Fails to Provide Substantive Reasoning for Revocation Decision

HC allowed the writ petition and set aside the GST registration cancellation order due to lack of reasoning by the tax authority. The court restored the ... Cancellation of GST registration of petitioner - non-filing of returns u/s 39 of the Central Goods and Services Tax Act, 2017 - cancellation of registration without assigning any reason - violation of principles of natural justice - HELD THAT:-A perusal of the impugned order dated 12.09.2023 would show that the said order is passed by a quasi-judicial authority. The effect of the said order would be that in absence of a registration, the Petitioner cannot carry out his business. Therefore, the effect of the said impugned order would entail civil consequences. In the backdrop of the above, if this Court peruses the order, it is shocking that the Respondent No. 3 had cancelled the registration without assigning any reason. This clearly shows a total non-application of mind. Accordingly, this Court therefore sets aside the said impugned order dated 12.09.2023 thereby restoring the status back to the date on which the Show Cause notice dated 08.08.2023 was issued. Petition disposed off. The High Court set aside the order cancelling the petitioner's GST registration as the authority did not provide any reason for the cancellation, restoring the status back to the date of the Show Cause notice. The petitioner has been given 10 days to file a reply to the notice. The writ petition is disposed of accordingly.