Shahima Khatun Vs State of Assam And 3 Ors. (Guwahati High Court)
In a significant ruling, the Gauhati High Court has affirmed that the cancellation of Goods and Services Tax (GST) registration can be reversed if the taxpayer settles all outstanding dues and files pending returns. The decision came in the case of Shahima Khatun Vs. State of Assam and 3 Ors. (WP(C) No. 6366/2023), where the petitioner sought the restoration of her proprietorship firm’s GST registration after it was cancelled due to continuous non-filing of returns.
The case involved Shahima Khatun, proprietor of “M/s Aruhan Enterprise,” who held GST registration number 18GPRPK2924D1ZN. Her registration was cancelled by an order dated May 3, 2023, issued by the Assistant Commissioner of State Tax, Dhekiajuli-1. This action followed a show cause notice issued on January 15, 2023, citing the non-furnishing of GST returns for a continuous period of six months or more, a ground for cancellation under Section 29(2)(c) of the Central Goods and Services Tax (CGST) Act, 2017, and the Assam Goods and Services Tax (AGST) Act, 2017. The show cause notice had stipulated a 30-day period for a reply, failing which an ex-parte decision would be made based on available records.
