Case Details: MS Imagine Marketing Ltd. vs. Joint Commissioner CGST Appeals II Delhi (2025) 37 Centax 376 (Del.)
Judiciary and Counsel Details
- Pratibha M. Singh & Shail Jain, JJ.
- Shri Ashwini Chandrasekaran, Ms. Priyanka Rathi & Ms. Priyanshi Chakraborty, Advs., for the Petitioner.
- Ms Anushree Narain, SSC, for the Respondent.
Facts of the Case
A show cause notice for cancellation of registration was issued to the petitioner, to which a reply was filed within the stipulated time enclosing details including rent agreements and GST returns for the last three months. Despite the furnishing of the said documents, an order was passed cancelling the registration without considering the reply. The petitioner thereafter filed an application seeking revocation of cancellation of registration, in respect of which a further show cause notice was issued, and a reply was again submitted. The revocation application was dismissed, following which an appeal was preferred before the Appellate Authority, which also came to be rejected. It was contended that the replies and documents submitted by the petitioner were not considered at any stage. The matter was accordingly placed before the High Court.
High Court Held
The High Court held that the impugned order cancelling registration did not disclose any reason as to why the documents and replies filed by the petitioner were not considered, except for a bald statement that the reply was not considerable. The Court held that the adjudicating authority had failed to consider any of the replies and documents on record and had passed mechanical, templated, and computer-generated orders without application of mind. It was further held that repeated calling for GST returns and related forms from the taxpayer was unjustified when the same were available on the GST portal. The Court therefore held that the orders cancelling registration, rejecting revocation, and dismissing the appeal were perverse and unsustainable, directed restoration of the GST registration, and ordered fresh adjudication of the show cause notice in accordance with section 29 read with section 30 of the CGST Act and Delhi GST Act.
