GST Registration Suspension Drama: A Taxpayer's Fight for Justice

•

GST Registration Suspension Drama: Taxpayer Fights Back! Will justice prevail? Follow the thrilling legal battle in the world of taxes! #TaxpayerJustice #GSTSuspension The petitioner is a taxpayer under the GST regime. 21-Feb-2023: Show-cause notice issued to petitioner.

The Notice is (Form GST REG-17 ) mentions "Fails to pay any amount of tax, interest or penalty to the account of the Central/State Government beyond a period of three months from the date on which such payment becomes due". Details for this were not provided in the SCN.

28-Feb-2023: Petitioner appeared before the Proper Officer and sought to know the contraventions committed by him. He was informed that a clarification in detail would be sent to him. However, no details were ever provided. However his registration is suspended via REG-17.

Petitioner's business continues to suffer on account of the improper action of the Proper Officer in complete violation of Article 19(1)(g) of the Constitution of India.

Petitioner approached High Court through Writ stating that Section 29(2) of the TSGST Act, 2017, which does not contemplate suspension of registration for non-payment of tax, and Article 19(1)(g) of the Constitution of India. Department challenged the Writ as it being premature.

Court's observations (without delving into merits): The show-cause notice lacks detail regarding the alleged contravention, and no adjudication order has been passed, causing the continuous suffering of the petitioner's business since 21.02.2023.

Court's directions: The petitioner should appear before the proper officer on 06.05.2023 with their reply. The proper officer should take a decision in accordance with law after giving the petitioner an opportunity for personal hearing within one week of appearance.

If the officer finds the suspension unwarranted, they should revoke it within the same timeframe; otherwise, the petitioner can seek remedy as permissible in law Title: Tejaswita Motors vs State of Tripura Court: Tripura High Court Citation: WP(C) No. 269/2023 Dated: 01-05-23