2024 (11) TMI 782 - HC - GST

Cancellation of petitioner's GST registration due to lack of natural justice - non-application of mind - HELD THAT - The impugned order in the very first sentence refers to the petitioner s reply to the show cause notice dated 10 November 2020, filed on 25 November 2020. However, after this, it is stated that no reply to the show cause notice has been submitted. This appears to be in contradiction in terms and indicative of non-application of mind. Admittedly, the petitioner had filed a reply dated 25 November 2020 to the show cause notice dated 10 November 2020. This does not appear to have been considered before making the impugned order dated 09 April 2021. Besides, it is admitted by Ms Chavan, learned Addl. GP that no hearing had been given to the petitioner before the impugned order dated 09 April 2021 was made. The impugned order dated 09 April 2021 was made without due compliance with the principles of natural justice and fair play. Ordinarily, the rule of exhaustion of alternate remedies is not strictly enforced when petitions against such orders are entertained. The impugned order dated 09 April 2021 is quashed - the respondents will immediately restore the petitioner s registration so that the petitioner can file necessary returns, make payments and comply with other formalities by 11 December 2024 - petition disposed off.

Summary

The High Court of Bombay set aside the order cancelling the petitioner's GST registration due to lack of natural justice. The matter is remanded to the 3rd respondent for a fresh decision, requiring consideration of the petitioner's reply and granting an opportunity for a hearing. The petitioner must comply with necessary formalities by December 11, 2024, and the 3rd respondent must dispose of the show cause notice by January 31, 2025. The registration is to be immediately restored. The court did not address the parties' contentions on merits. No costs were awarded.