M/S Sharp Print Ways v. State Of U P And 2 Others

Case :- WRIT TAX No. - 543 of 2022

Petitioner :- M/S Sharp Print Ways Respondent :- State Of U P And 2 Others Counsel for Petitioner :- Shubham Agrawal Counsel for Respondent :- C.S.C.

1. Sri Shubham Agrawal, learned counsel for the petitioner and

Sri Rishi Kumar, learned Standing Counsel for the respondents-

2. This writ petition has been filed assailing the cancellation of

registration of the petitioner-Firm under the Goods and Services

Tax Act as well as order passed by Appellate Authority dated

3. According to the petitioner, he was registered under the

Central Goods and Service Tax Act, 2017 (hereinafter called as

"Act of 2017"). The Assessee was regularly filing his return

from July, 2017 to November, 2020. A show cause notice was

issued on 10.02.2021 to the petitioner on the ground that he was

not functioning/not existing at the principal place of business.

The notice remained unreplied and the cancellation order was

passed by the Assessing Authority on 06.03.2021. A statutory

appeal was preferred by the petitioner, which was rejected by

the order impugned on the ground that Assessee, during the

survey, which was conducted on 10.02.2021, i.e. the date on

which the show cause notice was issued, was not running the

business on the place mentioned. It was further noted by the

first Appellate Authority that the rent agreement, which was

brought to the notice by the petitioner dated 01.01.2021, after

examination, was found that the place of business of the

petitioner has changed and the rent agreement was for 11

months. No intimation was given to the Department about

change of place of business.

4. Learned Standing Counsel submitted that intimation

regarding change of business should have been given to the

Department by the Assessee and when the survey was

conducted, it was found that the petitioner was not running his

business from the premises, which was noted with the

5. I have hear Sri Subham Agrawal, learned counsel for the

petitioner, Sri Rishi Kumar, learned Standing Counsel for the

State and perused the material on record.

6. From perusal of the order passed by first Appellate Authority

it transpires that the order, which runs into five pages, actually

takes note of the entire ground taken in the memo of appeal by

the Assessee and it covers almost four pages. In one paragraph,

the appellate authority has recorded its reasoning stating therein

that on the date, when the survey was conduced, the Assessee

was not running business on the place, which was informed to

the Taxing Department when the registration was done. Apart

from this fact, no other finding has been recorded by the first

Appellate Authority on the ground which have been taken in the

7. This Court finds that the first Appellate Authority is duty

bound to consider all the grounds raised in the appeal. Before

adjudicating any matter on merit, the first Appellate Authority

should consider each and every ground so taken and record its

findings. The order passed by first Appellate Authority on

27.10.2021 is a cryptic order and the cancellation of registration

of GST has a ramification effect on the business of the

8. It is also not in dispute to the Department that GST return

was filed by the Assessee right from its implementation since

July, 2017 till November, 2020. The first Appellate Authority

once it had taken note about the rent agreement, should have

taken into consideration that the place of business of the

Assessee has changed and an opportunity should have been

given to the Assessee to place all material before it and the

authority should have recorded findings before rejecting the

appeal confirming the order of cancellation of registration.

9. In view of the said fact, the order passed by first Appellate

Authority dated 27.10.2021 is unsustainable in the eyes of law

and the same is hereby set aside. The matter is remitted back to

the Appellate Authority to reconsider the appeal on merits and

deal with each and every grounds so taken in the appeal. The

Appellate Authority shall complete this exercise and decide the

appeal within one month from the date of production of a

certified copy of this order before him.

10. The writ petition stands partly allowed.

Order Date :- 9.1.2023 Kushal

2023-01-09T18:11:42+0530 High Court of Judicature at Allahabad