Silpi Das Vs Union of India And 2 Ors. (Gauhati High Court)
The Gauhati High Court has issued a significant ruling concerning the cancellation of Goods and Services Tax (GST) registration, holding that such cancellations can be reversed if the taxpayer rectifies the underlying default. The judgment, delivered in the case of Silpi Das Vs Union of India And 2 Ors., provides a pathway for a sole proprietor whose registration was canceled due to a failure to file returns. The court’s decision underscores a principle of justice and procedural compliance, allowing taxpayers who demonstrate a willingness to comply to remedy past omissions.
The case originated when Silpi Das, a registered assessee, had her GST registration bearing No. 18BMCPD4905N1ZY cancelled by an ex-parte order on March 2, 2023. This action was taken by the Superintendent of Naharkatia Range after a show cause notice, issued on January 15, 2023, went unanswered. The primary reason for the cancellation was the petitioner’s failure to furnish GST returns for a continuous period of six months, a direct contravention of Section 29(2)(c) of the CGST Act, 2017. The show cause notice had provided a 30-day window for a reply, and had warned that a failure to respond would lead to an ex-parte decision based on available records.
