cancellation of registration

[bk r]

A ltd company is registered with GST having a principal place of business in Delhi North and also showing/having three additional places of buisness at Delhi south, east and west . The additional place of business was earlier registered with the Central Excise as Registered dealer and we took also cenvat credit in respect of stack available as on 30.06.2017 as transitional credit in respect of purchase made by these Additional place of business. The department asked telephonicaly to submit the record we submit all the documents regarding stock receipt and invoices regarding puchase of material in respect of additional place of business as there was neary about 6 crores of amount was involved in tran-1. There is no physical business activity at the principal place of business and only documents kept here and file return. the business is now being done from additional place of business only i.e. from Delhi South, west and East. we neither done business from principal place of business nor issued any invoice from this place . The Central GST officers visited our principal place of business in April 2018.and found that the plot No registered as principal place of business is a vacant plot . they also videographed this and recorded panchnama also in token of vacant plot showing as principal place of business. This is fact that this is a vacant plot. I kept all the record at my house situated in Gurugram. Department issued SCN regarding cancellation of registration w.e.f. 01/07/2017 and also proposed disallowing of Trans 1 credit availed and other ITC availed during July to April 2018 in respect of additional place of business also . there is no activity at the principal place of business. A personal hearing was also given and we defend our case on the argue that the business activity actually took place form the additionl place of business and it is true. We also accepted that the principal place of business is a vacant plot . Now the department issued order regarding cancellation of GST registration w.e.f. 01.07.2017 and also initiated action for recocvry of trans I credit and other ITC availed during 01.07.2017 till date .Whether the department action for cancellation of registration w.e.f. 01/07/2017 is correct and proposal regarding recovery of Trans 1 credit and other ITC availed during 01/07/2017 to March 2018 is also correct. My additional place of business is working at the declared place.

AI Summary

Company Faces GST Registration Cancellation Due to Vacant Principal Location; Advised to Appeal or File Writ Petition A company registered under GST with a principal place of business in Delhi North and additional locations in Delhi South, East, and West faced issues when the principal location was found to be a vacant plot. The GST department issued a cancellation of registration effective from July 1, 2017, and proposed recovery of transitional credit and other ITC availed. The company argued that business activities occurred at additional locations, not the principal one. Experts in the forum largely agreed with the department's decision, advising the company to appeal or file a writ petition, emphasizing the need to prove genuine transactions and bona fide intentions.