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TMI Blog2022 (12) TMI 1370X X X X Extracts X X X X X X X X Extracts X X X X ..... pecified with any clarity, the reasons for proposing cancellation even the period for which there was alleged failure to file returns is not specified. The quashing of the impugned order of cancellation will not have the effect of absolving the petitioner of any fiscal liability. The petitioner will be required to file all defaulted returns together with tax, late fee, interest, penalty etc., within a period of two weeks from the date on which the registration of the petitioner is restored in compliance with this judgment - Petition allowed. - WP(C) NO. 29807 OF 2022 - - - Dated:- 22-12-2022 - HONOURABLE MR. JUSTICE GOPINATH P. Petitioner: BY Advs. Harisankar V. Menon Meera V. Menon R. Sreejith K. Krishna Respondents: By Sm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pearing for the petitioner would contend firstly that the finding in Ext.P3 order of the appellate authority that the appellate authority has no power to interfere with an order of cancellation and the only remedy available to an assessee who suffers an order of cancellation is to apply for revocation is contrary to law. He refers to the judgment of the Supreme Court in Commissioner of Income tax vs. Kanpur Coral Syndicate [(1964)53 ITR 225(SC)] to contend that the power of the appellate authority is co-terminus with that of the original authority. He also contends that a reading of Section 30 of the CSGT / SGST Acts will show that the option of filing an application for revocation is not mandatory, but is only directory as is indicated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... file returns for the specified period and therefore there is no illegality whatsoever in the order of cancellation. It is submitted that the procedure contemplated by law was followed before completing the proceedings against the petitioner. It is submitted that the petitioner did not apply for revocation within the time specified in Section 30 and also did not file any appeal within the time. 4. Having heard the learned counsel for the petitioner and the learned Senior Government Pleader for respondents, I am of the view that this writ petition is liable to be allowed. The show cause notice issued to the petitioner in this case is produced as Ext.P1. A perusal of Ext.P1 shows that the same has been issued in Form GST Reg 31, which is th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gs for suspension of registration and cannot be treated as a show cause notice under Rule 21 of the CGST Rules, which requires the issuance of a notice in form GST REG-17. Ext.P5 does not even contain all the details contemplated by the form appended to the Rules. A reading of Ext.P5 suggests that the Officer issued the notice in form GST REG-31 by omitting specific details from the form and by treating it as a notice for cancellation. It is a principle at the heart of administrative law that where the law requires a thing to be done in a particular manner, it must be done in that manner alone. In Babu Verghese v. Bar Council of Kerala, (1999) 3 SCC 422 , it was held:- 31. It is the basic principle of law long settled that if the man ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... REG-31. (ii) The Division Bench of the Gujarat High Court in Aggarwal Dyeing and Printing (Supra) has considered an almost identical situation. The Court considered the contents of the show cause notice issued in that case and came to the conclusion that the show cause notice was woefully inadequate inasmuch as it did not specify the reasons which compelled the Officer to initiate action for cancellation of registration. Even in the facts of this case, the show cause notice (Ext.P.5) reads thus:- Show Cause Notice for Cancellation of Registration Whereas on the basis of information which has come to my notice, it appears that your registration is liable to be cancelled for the following reasons:- 1. returns furnished by you ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion notifications granting concessions or exemptions have to be generally interpreted in favour of the revenue, again in the case of ambiguity. However, the Supreme Court in Government of Government of Kerala and another v. Mother Superior Adoration Convent; (2021) 5 SCC 602 has taken the view that where concessions or exemptions are granted with a specific purpose of promoting or encouraging a certain activity the principle that such concessions/exemptions must be interpreted in favour of the revenue does not apply. In the facts of these cases, this Court is concerned with the provisions of Sections 29/30 of CGST/SGST which gives to the power to cancel registration and also to revoke it. These are not provisions which need to be interpre ..... X X X X Extracts X X X X X X X X Extracts X X X X
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