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Case Title |
Panaqua Tradecom Private Limited vs State of Gujarat. |
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Court |
Gujarat High Court |
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Honorable Judges |
Justice J.B.Pardiwala & Justice Nisha M.Thakore |
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Citation |
2022 (4) GSTPanacea 346 HC Gujarat C/SCA/8389/2022 |
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Judgement Date |
27-April-2022 |
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Council for Petitioner |
Prakash Shah Dimple K Gohil |
|
Council for Respondent |
Utkarsh Sharma |
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Section |
NA |
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In Favour of |
In Favour of Assesses |
The Gujarat High Court bench of Justice J.B.Pardiwala & Justice Nisha M.Thakore has held that Show cause notice should containing all the material particulars and information therein to enable the dealer to effectively respond to the same. & the final order shall also be passed in physical form containing all necessary reasons and the same shall be forwarded/communicated to the dealer. The show cause notice, referred to above, and the impugned order are as vague as anything.
Facts of the Case
The writ-applicant is engaged in the business of trading of bullion and agricultural commodities. The writ-applicant is registered under the GGST Act with effect from 14.02.2018. The writ-applicant came to be served with a show-cause notice dated 11.03.2021 in the Form GST REG-17/31 calling upon the writapplicant to show-cause as to why his registration under the Act should not be cancelled
Show Cause Notice was issued for Cancellation of Registration reason as -In case, Registration has been obtained by means of fraud, wilful misstatement or suppression of facts.
It appears that thereafter the final order cancelling the registration came to be passed on 23.03.2021. The same reads thus
This has reference to your reply dated 18/03/2021 in response to the notice to show cause dated 11/03/2021. Whereas the undersigned has examined your reply and submissions made at the time of hearing, and is of the opinion that your registration is liable to be cancelled.
Court Held
Considering the facts as recorded, held that the show cause notice, referred to above, and the impugned order are as vague as anything.
The issue is now covered by the decision of this Court in the case of Aggarwal Dyeing and Printing Works vs. State of Gujarat & 2 Ors., Special Civil Application No.18860 of 2021, decided on 24.02.2022,
Show cause notice should containing all the material particulars and information therein to enable the dealer to effectively respond to the same. & the final order shall also be passed in physical form containing all necessary reasons and the same shall be forwarded/communicated to the dealer
This writ application succeeds and is hereby allowed. The impugned order cancelling the registration and the show cause notice is hereby quashed and set aside. The registration stands restored
Analysis of the Judgement
The issue is now covered by the decision of this Court in the case of Aggarwal Dyeing and Printing Works vs. State of Gujarat & 2 Ors., Special Civil Application No.18860 of 2021, decided on 24.02.2022.
The show cause notice, referred to above, and the impugned order are as vague as anything.
If the department wants to proceed further it may do so strictly in accordance with law keeping in mind the observations made by this Court in the case of Aggarwal Dyeing and Printing Works (Supra).
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Panaqua Tradecom Private Limited
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