Cancellation of GST Registration to Be Set Aside as GST Authority Ignored Assessee’s Reply to SCN

Case Details: Aditya Developers v. State of Maharashtra - [2024] 168 taxmann.com 618 (Bombay)

Judiciary and Counsel Details

• M.S. Sonak & Jitendra Jain, JJ.
• Roshil Nichani & Aansh Desai, Pythagoras Legal, for the Petitioner. 
• Ms. Jyoti Chavan, Addl. GP, for the Respondent.

Facts of the Case

The petitioner was a registered dealer. The department passed an order rejecting the revocation of registration. It filed writ petition against the order and contended that the reply submitted by the petitioner was not considered by the department.

High Court Held

The Honorable High Court noted that the impugned order in the very first sentence referred to the petitioner’s reply to the show cause notice dated 10th November 2020, filed on 25th November 2020. However, after this, it was stated that no reply to the show cause notice had been submitted. This appeared to be in contradiction in terms and indicative of non-application of mind.

Moreover, the petitioner had filed a reply dated 25th November 2020 to the show cause notice dated 10th November 2020 and this did not appear to have been considered before making the impugned order. Therefore, it was held that the impugned order was to be set aside and matter was remanded back to the department.