W.P.(C) No.6991/2023

Page 1 of 9

$~18

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IN THE HIGH COURT OF DELHI AT NEW DELHI

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W.P.(C) 6991/2023

OTTIMO VISUALS

..... Petitioner

Through:

Mr. Vineet Bhatia, Mr. Aamnaya

Jagannnath Mishra, Ms. Nidhi

Aggarwal & Ms. Jyoti Verma,

Advs.

Versus

COMMISSIONER OF GST, DELHI WEST

AND ORS.

..... Respondents

Through:

Mr. Aditya Singla, SSC with Ms.

Charu Sharma & Ms. Peehu Hooda,

Advs.

CORAM:

HON'BLE MR. JUSTICE VIBHU BAKHRU

HON'BLE MR. JUSTICE AMIT MAHAJAN

VIBHU BAKHRU, J.

1.

The petitioner has filed the present petition, impugning a show

cause notice dated 07.07.2022 (hereafter ‘the impugned show cause

notice’) proposing the cancellation of the petitioner’s GST registration.

The petitioner also impugns the order dated 18.08.2022 cancelling its

GST registration passed pursuant to the impugned SCN. The petitioner

Digitally Signed

By:DUSHYANT

RAWAL

Signing Date:21.08.2023

Signature Not Verified

W.P.(C) No.6991/2023

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had applied for revocation of the order cancelling its GST registration

on 12.09.2022, however, the said application was also rejected by an

order dated 13.10.2022. The petitioner impugns the said order as well.

2.

The respondents issued the impugned show cause notice on

07.07.2023 proposing to cancel to the petitioner’s GST registration for

the following reasons.

“Non compliance of any specified provisions in the

GST Act or the Rules made thereunder as may be

prescribed.”

3.

The petitioner was directed to appear before the proper officer

on 25.07.2022 at 11:00 a.m. and to file a reply within a period of seven

working days from the date of the service of the said show cause notice.

The petitioner neither filed a reply nor appeared before the proper

officer. On 18.08.2022, the proper officer passed an order cancelling

the petitioner’s GST registration. Curiously, the said order refers to a

reply dated 16.07.2022 purportedly sent by the petitioner to the

impugned show cause notice. However, it appears that the said

reference is on account of some technical glitch and, in fact, no reply

was furnished by the petitioner. The said order dated 18.08.2022

records the reason for cancelling the petitioner’s GST registration in the

following words: -

“1.

Cancellation was initiated as the taxpayer/firm

was found non-existent at their registered principle place

of business on physical verification. Taxpayer neither

attended PH nor replied to query raised and further no

reply received no tax deposited as informed by this

Digitally Signed

By:DUSHYANT

RAWAL

Signing Date:21.08.2023

Signature Not Verified

W.P.(C) No.6991/2023

Page 3 of 9

office letters dated 23.05.2022 & dated 28.04.2022.

Accordingly, GST registration is hereby cancelled. Your

duty, penalty and interest liabilities will stand as it is,

including filing of GSTR-10 (annual returns) within 3

months of the cancellation of registration. Thereof as

applicable is still due on you and you are hereby advised

to deposit the same. If not, suitable action as per law

will be initiated against you.”

4.

It is important to note that the petitioner’s GST registration was

cancelled with retrospective effect from 02.07.2017. It is also relevant

to note that the tabular statement indicating the amount of tax

recoverable from the petitioner as reflected in the impugned order dated

18.08.2022 records the tax payable as nil.

5.

It is the petitioner’s case that it had shifted its place of business

in Delhi to Shop No.10, Property No. 11/35-B, First Floor, Tilak Nagar,

New Delhi in the month of July, 2021. The petitioner had also explained

that the earlier premises, where it was carrying on its business, was

destroyed by the Northern Railways and