This court is inclined to set aside the impugned order confirming the cancellation of registration of the petitioner for revocation of cancellation of its registration, by directing the State respondent concerned to consider afresh the case of the petitioner.
Section 29 of the CGST Act, 2017 — Registration – The petitioner challenged impugned order dated 8th February, 2021 cancelling its registration under Section 29(2) of the Act on the ground that registration in question was obtained by documents void ab initio and that there was no existence of business at the declared place. The petitioner submitted that the impugned order of cancellation of registration was purely on technical ground of minor defect in the sub-let agreement, and such defect in the rent agreement was rectified by a supplementary agreement and this was produced before the authority concerned at the time of hearing of the show-cause-notice.The court observed that it is not a case of tax evasion or causing revenue loss to the Government rather petitioner’s activity of carrying on the business which cannot be called illegal and such type of drastic action on such hyper technical ground will not help the State rather it will cause revenue loss to the State as well as aggravate unemployment problem in the State.
Held that:- The Hon’ble High Court set aside the impugned order dated 16th April, 2021 and order of the Appellate Authority dated 25th August, 2021 confirming the cancellation of registration of the petitioner dated 9th November, 2020.
This court is inclined to set aside the impugned order confirming the cancellation of registration of the petitioner for revocation of cancellation of its registration, by directing the State respondent concerned to consider afresh the case of the petitioner.
Section 29 of the CGST Act, 2017 — Registration – The petitioner challenged impugned order dated 8th February, 2021 cancelling its registration under Section 29(2) of the Act on the ground that registration in question was obtained by documents void ab initio and that there was no existence of business at the declared place. The petitioner submitted that the impugned order of cancellation of registration was purely on technical ground of minor defect in the sub-let agreement, and such defect in the rent agreement was rectified by a supplementary agreement and this was produced before the authority concerned at the time of hearing of the show-cause-notice.The court observed that it is not a case of tax evasion or causing revenue loss to the Government rather petitioner’s activity of carrying on the business which cannot be called illegal and such type of drastic action on such hyper technical ground will not help the State rather it will cause revenue loss to the State as well as aggravate unemployment problem in the State.
Held that:- The Hon’ble High Court set aside the impugned order dated 16th April, 2021 and order of the Appellate Authority dated 25th August, 2021 confirming the cancellation of registration of the petitioner dated 9th November, 2020.