GST registration cannot be cancelled without Application of mind by department

Monirul Islam Vs State of West Bengal & Ors. (Calcutta High Court)

Application of mind should be there on the part of the Revenue Department while cancelling the GST registration

The Hon’ble Calcutta High Court in the matter of Monirul Islam v. State of West Bengal & Ors. [M.A.T. No.2051 of 2022 with I.A. No. CAN 1 of 2022 dated January 20, 2023] set aside the auto-generated order of cancellation of Goods and Service Tax (“GST”) Registration of the assessee, on the grounds that there was a mistake on the part of the Revenue Department in passing the order. Held that, there should be application of mind by the Revenue Department while passing orders, cancelling GST Registration be it physical or auto-generated. Directed the assessee to pay all his dues and directed the Revenue Department to restore the GST Registration of the assessee in accordance with law.

Facts:

Monirul Islam (“the Appellant”) was a small dealer, who due to financial constraints was unable to remit taxes.

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