GST Appeal Rejection Without Hearing Violates Natural Justice: Bombay HC

Solar Enterprises Vs Union of India and Others (Bombay High Court)

Summary: The Bombay High Court, Aurangabad Bench, allowed the writ petition filed by Solar Enterprises against the appellate order concerning cancellation of its GST registration. The Petitioner specifically asserted that it had not received any notice of hearing of the appeal at any point. The Division Bench comprising Justice Nitin B. Suryawanshi and Justice Abasaheb D. Shinde found that the Petitioner had not been granted an opportunity of hearing by the Appellate Authority before the impugned order was passed. On this ground alone, the Court quashed and set aside the impugned appellate order and remanded the matter to Respondent No. 3. The Petitioner was directed to appear before the authority on 10 August 2026, and the Appellate Authority was directed to decide the appeal on its own merits, after hearing the Petitioner, within six weeks from the first date of appearance.

The Petitioner, a scrap trader, challenged the cancellation of its GST registration under Section 29(2)(e) of the CGST Act, 2017. It was cancelled on the ground that it was a non-genuine taxpayer. The revocation application came to be rejected. An appeal against the said decision was also rejected. Hence; writ petition was filed.