GST UPDATE

????Desk of CA. Praveen Sharma Series- 539???? 

DELHI HIGH COURT IN THE CASE OF  Rajdhani Trading Co Section 29 of the CGST Act, 2017 

????The petitioner sought to restore its GST registration, which was cancelled on 30.05.2022 due to non-filing of returns for six months. The GST registration, effective from 29.07.2021, was suspended following a Show Cause Notice (SCN) issued on 19.05.2022. 

????The SCN did not specify a date, time, or venue for a personal hearing, and the petitioner failed to respond, resulting in the retrospective cancellation of the registration from 31.07.2021.

????The petitioner admitted to the failure in filing returns but claimed to have discharged all tax liabilities. The petitioner’s counsel requested the restoration of the GST registration, expressing readiness to pay dues. The respondent’s counsel acknowledged the petitioner’s non-compliance but admitted that principles of natural justice were not observed, as no personal hearing was scheduled.

????The court set aside the impugned order and directed the restoration of the petitioner’s GST registration, provided the petitioner files all due returns and clears tax dues within four weeks, including penalties. Failure to do so will revoke the restoration order The respondents may initiate further proceedings if necessary. The petition was disposed of accordingly.

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CA. Praveen Sharma
Regional Council of NIRC Candidate 2024

+91-9871530610