2022 (8) TMI 398 - HC - GST

Cancellation for GST registration of petitioner - demand cum recovery notices were received by the appellant on an assessment under Section 62 of CGST/SGST Act for the period from April 2018 to March 2019 - HELD THAT - Taking note of the contention raised by the appellant that he had also filed returns within 30 days on receipt of the demand notice, gave liberty to the appellant to prefer an appeal against the assessment orders within a period of 6 weeks time. Until such time the demand notice was directed to be kept in abeyance to enable the appellant to move the appellate authority, to prefer a statutory appeal. The learned single judge has relegated the appellant to avail remedy of statutory appeal available to him and he was given 6 weeks time to move the appellate authority. In view of the matter, we do not find any ground to interfere with the judgment of the learned single judge. But taking note of the circumstances of the case, the appellant is granted one months' time from today to file a statutory appeal before the authority - Appeal disposed off.

Summary

Issues:
1. Appeal against the judgment of the learned Single Judge dated 20.3.2020.
2. Discontinuation of business and application for cancellation of GST registration.
3. Assessment under Section 62 of CGST/SGST Act for the period from April 2018 to March 2019.
4. Contention regarding the uploading of assessment orders on the web portal.
5. Liberty granted to the appellant to prefer an appeal against the assessment orders within 6 weeks.
6. Direction to keep the demand notice in abeyance for the appellant to move the appellate authority.

Analysis:
1. The appellant, engaged in the purchase and sale of plywood and a registered dealer under the Kerala Value Added Tax Act and The Central Sales Tax Act, filed an appeal against the judgment of the learned Single Judge dated 20.3.2020. The appellant had discontinued business after migrating to GST only up to the financial year 2017-18.

2. Following the discontinuation of business, the appellant filed an online application for the cancellation of GST registration on 20.6.2019 with effect from 31.3.2019. However, the appellant received demand cum recovery notices under Section 62 of CGST/SGST Act for the period from April 2018 to March 2019, without being issued the assessment orders directly.

3. The first respondent stated that the assessment orders were uploaded on the web portal on specific dates. The appellant contended that he filed returns within 30 days of receiving the demand notice following the assessment orders. The learned Single Judge considered these facts and circumstances, concluding that the appellant was aware of the assessment orders uploaded on the department's portal.

4. The learned Single Judge held that the appellant could not claim ignorance of the assessment orders and granted liberty to the appellant to prefer an appeal against the assessment orders within 6 weeks. The demand notice was directed to be kept in abeyance to allow the appellant to move the appellate authority for a statutory appeal.

5. The judgment disposed of the Writ Appeal by relegating the appellant to avail the remedy of a statutory appeal within one month from the date of the judgment. The impugned assessment orders passed by the respondent were directed to be kept in abeyance for one month to facilitate the appellant in obtaining appropriate orders from the appellate authority.