Case Law Details
Samayshristi Enterprises Vs Superintendent (Delhi High Court)
Introduction: The recent judgment by the Delhi High Court in the case of Samayshristi Enterprises vs. Superintendent addresses the treatment of GST registration cancellation. The court overturned the rejection of the petitioner’s application for cancellation, emphasizing the need for proper justification in such decisions.
Detailed Analysis: The petitioner, engaged in trading ferrous waste and stainless steel, applied for the cancellation of their GST registration due to financial constraints. Despite submitting responses to queries raised by the authorities, their application was rejected on the grounds of non-attendance at a personal hearing and failure to provide necessary details.
However, the High Court found the rejection order lacking in substantial reasoning and details, rendering it unsustainable. Consequently, the court set aside the rejection order and directed the cancellation of GST registration from the date of the petitioner’s application, i.e., 21.11.2023. The petitioner was instructed to comply with the statutory requirements under Section 29 of the Central Goods and Services Tax Act, 2017.
The judgment clarified that the authorities could still pursue recovery proceedings for any outstanding taxes, penalties, or interests owed by the petitioner.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
