Sing Traders Vs State of Gujarat (Gujarat High Court)
In this case, the writ applicant approached the High Court under Article 226 of the Constitution of India seeking quashing of a show cause notice dated 14.02.2022 and the consequential order dated 22.02.2022 passed by the State Tax Officer, Ahmedabad, which cancelled the applicant’s GST registration. The applicant also sought restoration of registration and interim relief against the operation of the cancellation order.
The applicant was registered under the Gujarat Goods and Services Tax Act, 2017. A show cause notice was issued under Section 29 of the CGST Act, 2017 read with Rule 22(1) of the CGST Rules, 2017, stating that the registration was liable to be cancelled on the ground that the dealer was found suspicious and no documents were found at the place of business. The notice required the applicant to submit a reply within seven working days and to appear for a personal hearing on 21.02.2022, failing which the matter would be decided ex parte. The notice also stated that the registration stood suspended with effect from 14.02.2022.
Subsequently, on 22.02.2022, the State Tax Officer passed an ex parte order cancelling the GST registration with effect from 11.01.2022. The order recorded that no reply had been submitted and that the applicant had not appeared for the hearing. It also included a tabular determination of tax, interest, penalty, and other dues, all of which were shown as zero.
