TaxTMI 
TaxTMI 
2025 (5) TMI 383
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.... case of the petitioner that she is a Works Contractor and carries on her business from Duliajan, District - Dibrugarh, Assam. The petitioner got herself registered as a proprietorship firm under the Central Goods and Services Tax [CGST] Act, 2017 ['the CGST Act', for short]/State Goods and Services Tax [SGST] Act, 2017 ['the SGST Act', for short]. It is stated that when the petitioner applied for registration, the petitioner was issued a Registration Certificate in Form GST REG-06 with Registration no. 18BOXPB4909M1Z9 w.e.f. 01.07.2017 and the Registration Certificate was issued on 07.12.2017. 3. The petitioner was issued the Show Cause Notice on 27.08.2020 by the Proper Officer asking her to show cause as to why the Registration issued to her under the CGST Act should not be cancelled due to failure on her part to furnish returns for a continuous period of six months. The petitioner was thereby, asked to furnish a Reply within seven days from the date of service of the Show Cause Notice. It was further mentioned that if the petitioner would fail wither to furnish a Reply within the stipulated date or to appear for personal hearing on the appointed date and time, the case would....
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.... not either submit an application for revocation in time nor presented an appeal under Section 107, CGST Act in time and such facts go to demonstrate that the petitioner herself was indolent and not vigilant. 8. I have considered the submissions of the learned counsel for the parties and have also gone through the materials brought on record, apart from the relevant provisions of the CGST Act and the CGST Rules, 2017 ['the CGST Rules', for short] on which the learned counsel for the parties have relied on. 9. Section 39 [1] of the CGST Act inter-alia requires a registered person to furnish a return for every calendar month or part thereof, electronically, of inward and outward supplies of goods or services or both, input tax credit availed, tax payable, tax paid and such other particulars, in such form and manner, and within such time, as may be prescribed. Rule 61 [1] of the CGST Rules has prescribed the Form and manner of furnishing of return electronically through the common portal either directly or through a notified Facilitation Centre, as specified under sub-section [1] of Section 39 of the CGST Act. 10. As per Section 29 [2] [c], an officer, duly empowered, may can....
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....tion [2] of section 29, furnishes all the pending returns and makes full payment of the tax dues along with applicable interest and late fee, the proper officer shall drop the proceedings and pass an order in FORM GST REG-20. [5] The provisions of sub-rule [3] shall, mutatis mutandis, apply to the legal heirs of a deceased proprietor, as if the application had been submitted by the proprietor himself. 12. Sub-rule [1] of Rule 22 of the CGST Rules has inter-alia prescribed that where the Proper Officer has reasons to believe that the registration of a person is liable to be cancelled under Section 29 of the CGST Act, he is required to issue a notice to such person in FORM GST REG-17, requiring the noticee to show cause, within a period of seven working days from the date of the service of such notice, as to why the noticee's registration shall not be cancelled. Then, the noticee-registered person can furnish, as per sub-rule [2], his Reply to the show cause notice in FORM GST REG-18 within the period specified, that is, within seven working days. 13. Sub-rule [3] of Rule 22 has inter-alia prescribed that where in respect of a registered person the registration is liab....
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....Show Cause Notice dated 27.08.2020 and the contents of the impugned Order dated 09.09.2020 are read together, it is found that the Proper Officer has made mention of a Reply dated 05.09.2020 submitted from the petitioner's end in response to the Show Cause Notice dated 27.08.2020. The Proper Officer has gone on to observe that he examined the Reply received from the petitioner and considered the submissions made by the petitioner at the time of personal hearing. On the other hand, the petitioner had asserted that there was no Reply submitted from her end and the petitioner did not attend any personal hearing before the Proper Officer. As there was no pleading to that effect, the petitioner submitted an additional affidavit asserting such facts. Despite putting on notice on 02.04.2025, no instructions are placed not any counter affidavit is filed in rebuttal of the petitioner's assertion on the said two aspects. 18. It has been laid down in sub-rule [3] of Rule 22 of the CGST Rules that the Officer has to pass an Order under Section 29[2] of the CGST Act read with Rule 22[3] of the CGST Rules in FORM GST REG-19. For ready reference, the contents of Form GST REG-19 are extracted h....
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....notice as well as submissions made at the time of personal hearing and is of the opinion that your registration is liable to be cancelled for following reason[s]: i. ii. The effective date of cancellation of your registration is <<DD/MM/YYYY>>. 2. Kindly refer to the supportive document[s] attached for case specific details. 3. It may be noted that a registered person furnishing return under sub-section [1] of section 39 of the CGST Act, 2017 is required to furnish a final return in FORM GSTR-10 within three months of the date of this order. 4. You are required to furnish all your pending returns. 5. It may be noted that the cancellation of registration shall not affect the liability to pay tax and other dues under this Act or to discharge any obligation under this Act or the rules made thereunder for any period prior to the date of cancellation whether or not such tax and other dues are determined or after the date of cancellation. Place : Date : Signature <Name of the officer> Designation Jurisdiction. 19. Under the GST regime a registered assessee is required to pay the statutory dues under the CGST Act or the SGST Act, as th....
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....ust record reasons for its decision, unless such obligation is expressly or impliedly dispensed with. It is implicit in the principles of natural justice and fair play that an adjudicating authority should record reasons as it is part of fair procedure, more particularly, when the decision is likely to affect the right of the person concerned. Recording of reason is also prima facie suggestive of conscious application of mind on the part of the authority. The obligation to record reasons is a possible check against arbitrary action on the part of the adjudicating authority invested with the statutory power to take a decision which is likely to affect the right of the person concerned. When the statute itself contains a prescription to record reasons in the decision, absence of reasons in the decision falls short of the prescription and would be in violation of the prescription and thus, illegal. A look at FORM GST REG-19 also goes to substantiate that the Proper Officer is obligated to record his reason[s] for taking the action of cancellation of GST Registration. 24. Thus, from every standpoint, the impugned Order dated 09.09.2020 is not a speaking order. As such, the impugned ....