Delhi HC Quashes Cancellation Order Passed by AO Solely on Basis of a Letter Received from Another Authority

Case Details: Sant Ram v. Delhi State GST - [2024] 158 taxmann.com 253 (Delhi)

Judiciary and Counsel Details

• • Vibhu Bakhru & Amit Mahajan, JJ.
  • Harpreet Singh, Mr Saurabh Grover & Ms Suhani Mathur, Advs. for the Petitioner.
  • Rajeev Aggarwal, ASC & Ms Samridhi Vats, Adv. for the Respondent.

Facts of the Case

The petitioner was engaged in trading of goods. A show cause notice was issued to the petitioner proposing to cancel its GST registration on ground of receipt of a letter from another authority. Thereafter, the GST registration was cancelled and the petitioner filed application for revocation of GST registration cancellation order which was also rejected. It writ petition against the cancellation order.

High Court Held

The Honorable High Court noted that the impugned order was issued solely on basis of a letter received from another authority and said letter was neither attached to impugned SCN nor did impugned SCN referred to any contents thereon.

The Court also noted that the impugned order did not indicate that how proper officer was satisfied as to fulfilment of conditions mentioned in section 29(1) or 29(2) of CGST Act, 2017 for cancellation of registration. Therefore, it was held that the impugned order cancelling GST registration was to be set aside.