JK Technology Vs Deputy State Tax Officer (Telangana High Court)
The Telangana High Court considered a writ petition challenging the order dated 22.01.2024 cancelling the petitioner’s Goods and Services Tax (GST) registration.
The petitioner contended that the cancellation order was based on a ground different from the one mentioned in the show cause notice. The Court reproduced both the show cause notice issued in Form GST REG-17 dated 08.08.2023 and the cancellation order issued in Form GST REG-19 dated 22.01.2024.
The show cause notice proposed cancellation of GST registration under Section 29(2)(e) of the Central Goods and Services Tax Act, 2017 on the ground that the registration had allegedly been obtained by fraud, wilful misstatement or suppression of facts. The notice directed the petitioner to submit a reply within seven working days, appear for a personal hearing on 15.08.2023, and stated that the registration stood suspended with effect from 08.08.2023. The notice also recorded that no case-specific supporting documents were attached.
The cancellation order referred to the same show cause notice but stated that no reply had been submitted. However, instead of relying on the allegation contained in the notice, it cancelled the registration under Section 29(2)(c) of the Act on the ground that the petitioner, being a person other than one paying tax under Section 10, had failed to furnish returns for the prescribed period. It specifically stated that returns had not been filed from 01 January 2023 onwards and cancelled the registration with effect from 01.01.2023. The order also directed the petitioner to furnish the final return in Form GSTR-10 within the prescribed period and to file all pending returns.
