9911796707
TMI Blog2024 (8) TMI 575X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, 2017 (hereafter the CGST Act), the proper officer is empowered to cancel the taxpayer s GST registration including with retrospective effect, as he deems fit on the grounds as set out in the said sub-section. However, the exercise of cancelling the GST registration with retrospective effect is required to be informed by reason. Such action cannot be taken whimsically or arbitrarily. The proper officer must have good reasons to cancel the GST registration with retrospective effect. In the present case, the only ground on which the taxpayer s GST registration was sought to be cancelled was failure to file the returns for a continuous period of six months. Plainly, absent anything more, the cancellation of the taxpayer s GST registration ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ould not be cancelled. Since the petitioner s father had expired, the SCN (which was issued in the name of the petitioner s deceased father) could not be responded to. 7. Mr. Mahna, learned counsel appearing for the petitioner also submits that none of the legal heirs had examined the GST portal and, therefore, were unaware of the SCN. 8. Since no response was received to the SCN, the proper officer passed an order dated 23.12.2021 (hereafter the impugned order) cancelling the petitioner s deceased father s GST registration with retrospective effect from 05.04.2018 (being the date on which the said registration was granted). 9. The petitioner is essentially aggrieved as a number of persons to whom the petitioner s father had supplied goods, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ore, the cancellation of the taxpayer s GST registration for the period during which the GST returns were filed, is not warranted. 13. In the given facts of this case, we consider it apposite to direct that the impugned order would be operative from the date on which the petitioner s father expired, that is from 07.08.2020, and not with effect from 05.04.2018. 14. The impugned order stands modified to the aforesaid extent. 15. We, however, clarify that this would not preclude the respondent authorities from initiating any proceedings for recovery of tax or dues, if any, that may be due for the period prior to the demise of the petitioner s father, in accordance with law. 16. The present petition is disposed of in the aforesaid terms. - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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