UMMER FAROOQ Vs. SUPERINTENDENT OF CENTRAL TAX

JUDGEMENT

(1.) The petitioner has impugned the order dtd. 8/12/2022 [Annexure-D] issued under Sec. 29[2][a] of the Central Goods and Services Tax Act, 2017 [for short, 'CGST Act'] canceling the petitioner's GST registration. The petitioner has alleged inter alia that the impugned order of cancellation is in violation of principles of natural justice. As such, Sri. Shreehari Kutsa, the learned counsel for the petitioner, and Sri. Jeevan J Neeralgi, the learned counsel for the respondents, are heard for final disposal of the petition.

(2.) The first respondent has issued notice dtd. 26/10/2022 informing the petitioner that the petitioner has availed input tax credit for different transactions with entities as mentioned in such notice but the registration of such entities have been either cancelled or suspended and hence, the petitioner must furnish documents in support of the input tax credit. The respondent has afforded five days to file such documents. On 1/11/2022, the first respondent has issued Show Cause Notice for cancellation of the petitioner's GST registration. The petitioner, on receipt of such Show Cause Notice, has appeared before the first respondent and sought for time.

(3.) Thereafter, the first respondent on 8/12/2022 has issued the impugned order canceling the petitioner's GST registration on the ground that the petitioner 'has not reversed the disputed input tax credit with interest and penalty'. The petitioner thereafter has filed an application with the first respondent for revocation of the cancellation contending that all of his transactions with the suppliers for the value of more than Rs.10,000.00 is made only through banking transactions. If there is any default by a supplier who has furnished GST numbers, the petitioner cannot be made liable and that would be contrary to the provisions of Sec. 16 of the GST Act, 2017 which contemplates only four conditions to claim input tax credit. This application is pending consideration.