HC directs restoration of cancelled GST registration without considering petitioner’s reply

Case Details: Rakesh Enterprises v. Principal Commissioner of Central Goods & Services Tax - [2023] 148 taxmann.com 412 (Delhi)

Judiciary and Counsel Details

• • Vibhu Bakhru & Amit Mahajan, JJ.
  • Anjali Jha Manish, Priyadarshi Manish, Anmol Arya & Uday Pathak, Advs. for the Petitioner.
  • Aditya Singla, Sr. Standing Counsel, Ms Karnika Dubey & Sahil Sharma, Advs. for the Respondent.

Facts of the Case

The petitioner filed writ petition against the order of cancellation of registration. It contended that the reply to show cause notice (SCN) was submitted but the department cancelled registration without considering the reply submitted by it.

The department submitted that the case history did not reflect that the petitioner had filed any response to the SCN and there was a technical glitch and the reference to the reply in order was automatically generated.

High Court Held

The Honorable High Court observed that the counter affidavit filed by the department was inconsistent. In one of the paragraphs, it was mentioned that the petitioner had not submitted any response and in another paragraph it was mentioned that the petitioner had submitted a response to SCN.

Therefore, it was held that the impugned order cancelling petitioner’s registration was not sustainable as it did not consider petitioner’s response to SCN and the Court directed department to restore cancelled registration of petitioner.