Singhal Singh Rawat Vs Commissioner of Central Goods And Services Tax (Delhi High Court)
Delhi High Court held that cancellation of GST registration with retrospective effect without affording sufficient opportunity of being heard is unjustified. Accordingly, order cancelling GST registration set aside.
Facts- The petitioner was registered under the provisions of the Central Goods and Services Tax Act, 2017 and the Delhi Goods and Services Tax Act, 2017. The petitioner filed an application on 02.11.2022 seeking cancellation of his GST registration for the reason that it has closed his business.
The proper officer issued the notice dated 04.11.2022 and called upon the petitioner to show cause why his application should not be rejected. The petitioner did not respond to the notice dated 04.11.2022 and consequently, the petitioner’s application for cancellation of his GST registration was rejected by an order dated 16.11.2022.
Thereafter, on 17.11.2022, the proper officer issued the impugned SCN. The only reason set out in the impugned SCN for proposing to cancel the petitioner’s GST registration reads as: “Non-existent”. The impugned order cancelling the petitioner’s GST registration does not indicate any reason for cancelling the petitioner’s GST registration except referring to the impugned SCN. The petitioner is essentially aggrieved by the cancellation of GST registration with retrospective effect.
