2024 (10) TMI 1310 - HC - GST

Cancellation of registration of petitioner - Non compliance of any specified provisions in the GST Act or the Rules made thereunder as may be prescribed - no proper reasons given in the SCN - Violation of principles of natural justice - HELD THAT - Neither the SCN nor the final order assign or record any reasons in support of the ultimate conclusion which has come to be drawn and recorded, namely, that the petitioner had violated the provisions of the Goods and Services Tax Act, 2017 or the Goods and Services Tax Rules, 2017 framed thereunder. The SCN is gloriously silent with respect to the provisions of the GST Act which are alleged to have been violated or infringed. The aforesaid position remained unaltered in the final order which too fails to provide any clue with respect to the provision of the statute which may have been violated or infringed. The impugned SCN dated 16 June 2023 and the impugned order of cancellation of registration dated 04 June 2023 is hereby quashed - Petition allowed.

Summary

The High Court allowed the exemption for the petitioner in a case regarding the cancellation of registration under the GST Act. The court quashed the show cause notice and the order of cancellation due to lack of reasons provided for the violation of GST provisions. The respondents have the right to initiate proceedings again.