It was ruled by the Telangana High Court in the case that the SCN should comprise the information on fraud, wilful misstatement, or suppression of facts for cancelling the GST registration as under Section 29(2)(e) of CGST Act, 2017. Justice Sujoy Paul and Justice N. Tukaramji marked that “Needless to mention that the show cause notice dated 09.11.2023 became the foundation for issuance of orders dated 29.11.2023 and 23.02.2024 since the foundation cannot sustain judicial scrutiny, the entire edifice of orders passed thereupon are liable to be jettisoned.” T S…
Tag: GSTIN
GSTIN Cancellation Must Be As Per GST Law Not Arbitrary U/S 29(2): Delhi HC Cancels Order
It was stressed by the Delhi court that the cancellation of the GST registration is to be reasonable and not arbitrary u/s 29(2) of the Goods and Services Tax (GST) Act. An order cancelling the GST registration of M/s. Elasto Rubber Pvt Ltd has been set aside by the court remanding the case to the Appellate Authority for a fresh decision on merits. The order on 28.06.2024 has been contested by the applicant M/s. Elasto Rubber Pvt Ltd refuses their petition under section 107 of the CGST, 2017/Delhi Goods and…
AP HC Dismisses Petition Challenging GSTIN Cancellation Due to Alternate Remedy Available Under GST Act
The Andhra Pradesh High Court in a case mentioned that the petitioner can contest the cancellation of GST (Goods And Service Tax) registration by availing remedy u/s 30 of CGST (Central Goods And Service Tax) Act and disposed of the writ petition. The applicant Madeena Steels, proprietor is in the business of purchase and sale of iron scrap and has been regularly paying monthly returns after claiming GST ITC (Input Tax Credit) as per GST Act, 2017. On 23.06.2023 SCN was served by the 1st respondent expressing that the suppliers…
CBIC Introduces New GSTIN Regulation Requiring Biometric Authentication Using Aadhaar Card
The Central Board of Indirect Taxes and Customs (CBIC) recently made it public through social media about the implementation of a new GST registration rule. This rule necessitates biometric authentication through Aadhaar and in-person verification for certain taxpayers identified based on data analytics and risk parameters. The objective behind this change is to enhance security and prevent fraud. Applicability of the Rule: Uniform Application Across States and UTs The rule is applicable uniformly throughout the nation including all the states and union territories. According to CBIC’s post on social media…
Delhi HC Revises Retrospective GSTIN Cancellation Due to Lack of Reasoning for Late GST Returns
The retrospective cancellation of GST registration has been amended by the Delhi High Court on failure to file the timely returns mentioning an absence of reasoning in the impugned order. The applicant, M/S Feron Life Sciences Pvt. Ltd., a company in trading medicaments, centrifuges, and allied products, was registered under the Central Goods and Services Tax Act, 2017 (CGST Act). The applicant contested the Show Cause Notice (SCN) on 09.03.2021, and the subsequent order on 28.12.2021, which retrospectively cancelled the GST registration of the company from 02.07.2017. Mainly the applicant…
Delhi HC Rejects GSTIN Cancellation Because the SCN Lacks Information About the Personal Hearing
The cancellation of GST registration for M/S. Rajdhani Trading Co., citing a violation of natural justice has been overturned by the Delhi High Court. The court’s judgment stresses the importance of procedural fairness specifically the need for a clear personal hearing procedure. The writ petition is towards M/S Rajdhani Trading Co., a business registered under GST since July 29, 2021. The company encountered problems when its GST registration was cancelled by an order on May 30, 2022. This cancellation occurred after the company failed to file GST returns for 6…