9911796707
TMI Blog2024 (10) TMI 610X X X X Extracts X X X X X X X X Extracts X X X X ..... n were passed contrary to the principles of natural justice, all the subsequent proceedings initiated thereafter, which are consequential, also have to be quashed. The Petitioner should have checked his email when the Respondent sent the show cause notice dated 26 February 2024, which the Petitioner has submitted has been inadvertently overlooked. The Petitioner's conduct not approved on this count. The learned counsel for the respondents expressed an apprehension that the petitioner may utilise the ITC to its credit up to 8 May 2023 and try to render the further proceedings infructuous. In the facts of the present case, the Petitioner will have to be restrained from utilising this ITC for some reasonable period during which the respond ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er stating that the cancellation order dated 9 May 2023 has been revoked pursuant to the orders received from the Appellate Authority / Higher Authority for restoration of the cancellation order. On the same day, an order was passed rejecting the Petitioner's application for voluntary cancellation of registration dated 9 May 2023. 5. On 26 February 2024, show cause notice was issued by CGST Authorities to the Petitioner to show cause why the registration should not be cancelled on account of the same having been obtained by means of fraud, wilful misstatement or suppression of facts as per Section 29 (2) (e) of the Central Goods and Services Tax Act, 2017. The said show cause notice directed the Petitioner to file a reply within 7 days ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... action of Respondent is contrary to the principles of natural justice since no opportunity of hearing was given before restoration of voluntary cancellation of registration and furthermore, the show cause notice issued for cancellation of registration post such revocation did not specify that the rejection will be cancelled with retrospective effect. Mr. Sahoo further submitted that the Petitioner, being an individual, inadvertently overlooked the email received by which the said show cause notice dated 26 February 2024 was issued and, therefore, there was no compliance of the said show cause notice. He further submitted that there are series of decisions of this Court and other High Courts taking a view that cancellation cannot be done re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... round that same is done pursuant to the orders received from Appellate Authority / Higher Authority. Who this Appellate Authority / Higher Authority was or what the order made was nowhere disclosed to the petitioner at that time but much after the cancellation order was made. In our view, it was incumbent upon the Respondents to have issued a show cause notice for revocation of cancellation of registration before passing the order on 20 February 2024. Having not issued any show cause notice, in our view, the restoration of voluntary cancellation of registration is contrary to the principles of natural justice. 14. It is also important to note that Form GST REG-05 dated 20 February 2024, rejecting the application of Petitioner for voluntary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ied with the documents on the basis of which its application for cancellation of registration was rejected, which is contrary to the principles of natural justice. 17. The CGST Authorities accepted the Petitioner's application for registration cancellation with effect from 8th May 2023. In our view, since the orders revocating registration cancellation on the Petitioner s application were passed contrary to the principles of natural justice, all the subsequent proceedings initiated thereafter, which are consequential, also have to be quashed. 18. The Petitioner should have checked his email when the Respondent sent the show cause notice dated 26 February 2024, which the Petitioner has submitted has been inadvertently overlooked. We do n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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