9911796707
TMI Blog2024 (1) TMI 436X X X X Extracts X X X X X X X X Extracts X X X X ..... tocks and inputs contained in semi-finished or finished goods held in stock or capital goods of plant and machinery on the day immediately preceding the date of such cancellation or the output tax payable on such goods, whichever is higher. In terms of Section 29(2) of the Act, the proper officer may cancel the GST registration of a person from such date including any retrospective date, as he may deem fit if the circumstances set out in the said sub-section are satisfied. The registration cannot be cancelled with retrospective effect mechanically. It can be cancelled only if the proper officer deems it fit to do so. Such satisfaction cannot be subjective but must be based on some objective criteria. Merely, because a taxpayer has not fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... up for final disposal. 4. Petitioner is registered under the Goods and Services Tax Act, 2017. As per the petitioner, petitioner submitted an application for cancellation of registration with effect from 22.02.2021 on the ground that petitioner had closed its business during COVID period. 5. Respondent No. 2 issued a notice stating that the value of raw material stock, stock value of capital goods appears to be incorrect and there were excess sales and purchases and accordingly particulars about stock were sought for from the petitioner. Since no reply was received from the petitioner, the application seeking cancellation of registration was rejected by the order dated 04.03.2021, (impugned herein). 6. Thereafter, a show cause noti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice that the same has been cancelled with retrospective effect. 11. In terms of Section 29(2) of the Act, the proper officer may cancel the GST registration of a person from such date including any retrospective date, as he may deem fit if the circumstances set out in the said sub-section are satisfied. The registration cannot be cancelled with retrospective effect mechanically. It can be cancelled only if the proper officer deems it fit to do so. Such satisfaction cannot be subjective but must be based on some objective criteria. Merely, because a taxpayer has not filed the returns for some period does not mean that the taxpayer s registration is required to be cancelled with retrospective date also covering the period when the returns ..... X X X X Extracts X X X X X X X X Extracts X X X X
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