Petitioner cannot be deprived of opportunity to object to retrospective GST Registration cancellation

Een Een Sales Corporation Vs Assistant Commissioner of Central Goods And Service Tax (Delhi High Court)

Introduction: The Delhi High Court recently rendered a significant judgment in the case of Een Een Sales Corporation challenging the retrospective cancellation of its GST registration. The petitioner contested a show cause notice dated 03.08.2023 and an order dated 15.09.2023, which cancelled the GST registration with effect from 04.02.2023. This article delves into the details of the case, highlighting the key issues raised by the petitioner.

Detailed Analysis:

1. Show Cause Notice Flaws: The petitioner raised objections to the show cause notice, pointing out its deficiencies. The notice, dated 03.08.2023, lacked specific reasons for the proposed cancellation. It cited “Non-compliance of any specified provisions in the GST Act or the Rules,” without providing details on the alleged non-compliance.

2. Vagueness in Order: The subsequent order dated 15.09.2023 was criticized for its lack of reasoning. The order referred to the earlier show cause notice and stated the effective date of cancellation without offering any substantial explanation. The court observed that the order failed to meet the standards of proper justification.

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