TaxTMI 
TaxTMI 
2025 (5) TMI 1509
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.... Cancellation of GST Registration dated 15.12.2023 vide Reference No: ZA1012230354472 (as contained in Annexure-P2) passed by the Respondent No-5 Cancelling GST registration of the Petitioner by nonspeaking order stating " This has reference to show cause notice issued dated 13/11/2023. The effective date of cancellation of your registration is 13/11/2023 and without providing sufficient opportunity of hearing in violation of principles of natural justice be quashed. (iii) For directing the Respondents to restore the GST Registration of the Petitioner with immediate effects as the Petitioner has already filed GST returns properly up to Nov, 2023 and appropriate taxes had also been paid along with late fee and for the remaining period from December, 2023 onwards, Petitioner was not able to upload monthly returns as the GST portal is not allowing filing of return further due to cancellation of his GST Registration w.e.f. 13.11.2023. (iv) For granting any other relief(s) to which the Petitioner is otherwise found entitled to in accordance with law." 2. Petitioner is a proprietor of M/s MEDICANA which is registered firm under the GST Act, 2017 having GSTIN No. sinc....
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....rementioned defects are forthcoming in the impugned show cause notice and order of cancellation of registration, the petitioner need not to be relegated to the appellant authority under Section 107. Having regard to the fact that there is a violation of principles of natural justice he need not exhaust statutory remedy of appeal before the appellate authority in the light of M/s Godrej Sara Lee Ltd. vs. the Excise and Taxation Officer-cum- Assessing Authority and Ors. reported in 2023 SCC OnLine SC 95. 5. It is further submitted that impugned action of the respondent violates article 19(1)(g) of Constitution. In support of the same, he relied on Division Bench decision of the Bombay High Court in the case of Rohit Enterprises vs. the commissioner and others vide annexure P/6 (para 9). It is also submitted that official respondents are exercising quasi judicial function under Section 29. In that event they are bound by certain principles laid down by the Hon'ble Supreme Court in the case of M/s. Kranti Associates Pvt. Ltd. & Anr. v. Masood Ahmed Khan & Ors, reported in (2010) 9 SCC 496. Para 47 6. The learned counsel for the petitioner submitted that in this backdrop he pr....
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.... from the date of service of this notice. You are hereby directed to appear before the undersigned on 11/12/2023 at 11:00 If you fail to furnish a reply within the stipulated date or fail to appear for personal hearing on the appointed date and time, the case will be decided ex parte on the basis of available records and on merits. Please note that your registration stands suspended with effect from 13/11/2023" " Order for Cancellation Of Registration This has reference to show cause notice issued dated 13/11/2023. The effective date of cancellation of your registration is 13/11/2023. 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 GSTAR-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 no....
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....e principle laid down by the Hon'ble Supreme Court in the case of M/s. Kranti Associates Pvt. Ltd. & Anr. v. Masood Ahmed Khan & Ors, reported in (2010) 9 SCC 496. Para 47 reads as under:- "47. Summarising the above discussion, this Court holds: (a) In India the judicial trend has always been to record reasons, even in administrative decisions, if such decisions affect anyone prejudicially. (b) A quasi-judicial authority must record reasons in support of its conclusions. (c) Insistence on recording of reasons is meant to serve the wider principle of justice that justice must not only be done it must also appear to be done as well. (d) Recording of reasons also operates as a valid restraint on any possible arbitrary exercise of judicial and quasi-judicial or even administrative power. (e) Reasons reassure that discretion has been exercised by the decision-maker on relevant grounds and by disregarding extraneous considerations. (f) Reasons have virtually become as indispensable a component of a decisionmaking process as observing principles of natural justice by judicial, quasi-judicial and even by administrative bodi....
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.... part of "due process". 12. The learned counsel for the petitioner relied on Annexure P/4, P/7 and P/8 on the issue of non speaking order insofar as cancellation of registration which is aptly applicable to the case in hand. 13. The learned counsel for the respondent submitted that having regard to the conduct of the petitioner in not approaching the appellate authority and approaching this Court in the year 2024, he has slept over his right, on this issue he relied on decision in the case of Ms. Vishwananth Traders (supra). The aforementioned decision is not applicable to the case in hand for the reasons that the Vishwanath Traders case is considered that petitioner therein had invoked a remedy under Section 107 insofar as filing belated memorandum of appeal, whereas in the present case petitioner has not invoked remedy under Section 107 of CGST Act, 2017, obviously for the reasons that impugned show cause notice and cancellation of registration order is in violation of principle of natural justice. Under what circumstances Writ Court can by pass the statutory remedy of appeal by the concerned aggrieved person has been explained in detail in case of Godrej (supra). One of th....