JUDGMENT

The petitioners have approached this Court by the instant writ petition, preferred under Article 226 of the Constitution of India on the premise that their GST Registration under the Central Goods and Services Tax [CGST] Act, 2017 has been cancelled by an Order dated 29.08.2024 pursuant to issuance of a Show Cause Notice dated 07.11.2022. The assail is made inter-alia on the grounds that the manner in which the GST Registration has been cancelled is arbitrary and the impugned Order of cancellation has been passed by the Proper Officer without due application of mind.

2. It is the case of the petitioner no. 2 that he has been carrying on his business in the name of his proprietorship firm, M/s Sagar Enterprise, that is, the petitioner no. 1. It carries on business of construction, and supply of building materials, as well as sale of drugs to the District Drug Stores, established under the National Health Mission. Its principal place of business is at Rajdhani Masjid Path near Rajdhani Masjid, Hatigaon, Guwahati. The petitioner got itself registered as a proprietorship firm under the Central Goods and Services Tax [CGST] Act, 2017 [‘the CGST Act’, for short]. It is stated that when the petitioner applied for registration, the petitioner was issued Registration Certificate in Form GST REG-06 with Registration no. 18AJEPB0467B2ZS w.e.f. 17.06.2020.

3. The petitioner was issued the Show Cause Notice on 07.11.2022 by the Proper Officer asking him to show cause as to why the registration issued to him under the CGST Act should not be cancelled purportedly due to failure on his part to furnish returns for a continuous period of six months. The petitioner was thereby, asked to furnish a Reply within seven working days from the date of service of the Show Cause Notice. It was further mentioned that if the petitioner would fail to furnish a Reply within the stipulated date or to appear for personal hearing on the appointed date and time, the case would be decided ex-parte on the basis of the available records and on merits. By the Show Cause Notice, the petitioner’s Registration under the CGST Act was also suspended w.e.f. 07.11.2022.

4. Thereafter on 29.08.2024, the impugned Order came to be passed whereby the petitioner’s GST Registration has been cancelled w.e.f. 29.08.2024.

5. I have heard Mr. P.K. Deka, learned counsel for the petitioners; Mr. J. Saikia, learned Central Government Counsel for the respondent no. 1; and Mr. B. Choudhury, learned Standing Counsel, Finance and Taxation Department for the respondent nos. 2, 3 & 4.

6. Mr. Deka, learned counsel for the petitioner has submitted that in response to the Show Cause Notice, which was uploaded in the common portal, the petitioner could not submit a Reply due to reasons beyond his control as it escaped his notice. The petitioner is not conversant and proficient with technology and online platforms. No notice was served upon the petitioner manually. It is submitted that the petitioner came to learn about the Show Cause Notice when the time for filing the Reply was already over and the impugned Order dated 29.08.2024 had already been uploaded in the common portal and a copy of the same was sent to him by e-mail; which was seen by the petitioner at a much later period. During Covid-19 pandemic period, the petitioner suffered serious setback in his business and the business had virtually come to a standstill. It was after overcoming the setbacks, the petitioner when tried to resurrect his business, the matter of cancellation came to the knowledge of the petitioner. Though the petitioner tried to submit an application for revocation, the GST portal did not allow submission of such application as the time-limit prescribed for filing of revocation of application was already over by then. Similarly, the petitioner could not prefer an appeal due to expiry of the statutory period of limitation as well as extended period of limitation. As a result, the petitioner failed to his GST