GST Registration to Be Restored as Assessee Deposited Amount to Comply with Rule 86B Requirements | HC

  • Blog|News|GST & Customs|
  • < 1 minute
  • By Taxmann
  • |
  • Last Updated on 13 November, 2024

Recent Posts

Blog, News, Insolvency and Bankruptcy Code

IBBI Proposes Changes in Liquidation Regulations to Ensure Transparency in Compromise or Arrangement Schemes

News, Blog, Insolvency and Bankruptcy Code

IBBI Proposes to Strengthen the Regulatory Framework Governing Monitoring Committees Under IBC

Latest from Taxmann

GST Registration Suspension

Case Details: Ujjwal Garg vs. Commissioner, Department of Trade and Taxes - [2024] 168 taxmann.com 50 (Delhi)

Judiciary and Counsel Details

  • Vibhu Bakhru & Sachin Datta, JJ.
  • Bhwesh Bhola & Sahil Mongia, Advs. for the Petitioner.

Facts of the Case

The petitioner was registered under GST and GST department issued Show Cause Notice proposing to cancel the petitioner’s GST registration on the ground that it had violated Rule 86B by using electronic credit ledger to discharge his liability towards output tax in excess of 99% of tax liability.

The petitioner filed a writ petition and claimed that suspension of petitioner’s GST registration was due to non-compliance with Rule 86B of CGST Rules, 2017 and the petitioner had subsequently deposited a sum of Rs.80,000/- to comply with requirement, post issuance of show cause notice.

High Court Held

The High Court noted that the petitioner had not complied with Rule 86B of the CGST Rules, which in effect stood remedied by deposit of the amount. The Court also observed that it is necessary to bear in mind that suspension of a taxpayer’s GST registration has wide adverse ramifications for the business of the taxpayer and such an action can be taken only after due consideration and held that the suspension of GST registration would not continue after deposit of required amount and it must be restored forthwith.

Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.

Leave a Reply

Your email address will not be published. Required fields are marked *

«
»

Everything on Tax and Corporate Laws of India

To subscribe to our weekly newsletter please log in/register on Taxmann.com

Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied