9911796707
TMI Blog2024 (7) TMI 1023X X X X Extracts X X X X X X X X Extracts X X X X ..... CGST Act clearly mandates that the cancellation of registration under this section shall not affect the liability of the person to pay tax and other dues under this Act or to discharge any obligation. Thus Sub-Section (3) of Section 29 of the CGST Act makes it adequately clear that even after cancellation, if any tax liability subsists, the registered person is required to pay the tax. Section 65 (1) of the CGST Act also authorizes the Authority to undertake audit of any registered person for such period. Admittedly, the petitioner was a registered person for the period for which the assessment order has been passed and notice dated 06.03.2020 to initiate audit has been issued. It is also pertinent to note that after audit, show cause notic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eclare that all the consequential proceedings initiated in pursuance of the impugned notice dated 06.03.2023 (Annexure-5) as erroneous, perverse, illegal and without jurisdiction; iv. Issue a writ of certiorari or any other writ or writs for quashing impugned order dated 30.11.2023 (Annexure-8) passed in pursuance of the consequential SCN dated 01.06.2023 issued for objection/audit para created in GST audit commenced after issuance of notice for conducting audit (Annexure-5) and declare the same as erroneous, perverse, without jurisdiction and contrary to Section 65 (1) read with Section 2 (94) of the CGST/RGST Act, 2017 and set-aside demand of tax, interest and penalty created therein; v. Pass any order that this Hon'ble Court may deem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nducted only against a registered person. 5. Counsel appearing for the respondents-Union of India as well as learned Additional Advocate General appearing for the State have vehemently opposed the present writ petition. It is contended that Section 29 (3) of the CGST Act specifically provides that cancellation of registration shall not affect the liability of a person to pay tax and other dues under this Act or to discharge any obligation under this Court or the rules made thereunder for any period prior to the date of cancellation whether or not such tax and other dues are determined before or after the date of cancellation. 6. A harmonious interpretation has to be drawn while reading Section 65 of the CGST Act, which provides that the aud ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the CGST Act, whereas in the present matter, proceedings under Section 73 and 74 of the CGST Act has already taken place and assessment order has been passed. 8. We have considered the contentions. 9. The main thrust of the argument of counsel for the petitioner is that Authorities can undertake audit of a registered person only. In this regard, it is argued by counsel for the petitioner that registration was cancelled on 16.01.2020. At the time of cancellation, the Authority should have calculated any outstanding amount and if there was any outstanding amount, the same should have been cleared before issuing the cancellation order. 10. We have perused Section 65 (1) of the CGST Act which reads as under:- (1) The Commissioner or any offi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ITC and has thereafter, applied for cancellation of registration, is not entitled for any relief from the Court. 14. Counsel appearing for the petitioner has done his best, but we are not inclined to entertain the present writ petition and the same is accordingly, dismissed with a cost of Rs. 25,000/-. Stay application stands disposed. 15. Petitioner is directed to deposit the cost of Rs. 25,000/- with the Rajasthan High Court State Legal Services Authority, Jaipur Bench within four weeks. 16. Copy of this order be sent to Secretary, Rajasthan State Legal Services Authority, Jaipur Bench for information. In case cost is not deposited, Secretary RSLSA to intimate the Office. After receiving the information from the Office of Secretary, RSLSA ..... X X X X Extracts X X X X X X X X Extracts X X X X
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