M/S Chauhan Ent Udyog vs. State Of U.P. And Another
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The petitioner, M/s Chauhan Ent Udyog, filed a writ petition challenging an order dated August 31, 2024, issued under Section 73 of the Uttar Pradesh Goods and Services Tax Act, 2017 (UPGST Act). The order was passed by respondent no. 2 for the financial year 2019-20. The material fact highlighted by the Court is that the petitioner's GST registration was cancelled prior to the issuance of the notice under Section 73 of the UPGST Act. The State of U.P. and another were the respondents. The petition was filed under Article 226 of the Constitution of India.
Held
The Court held that the impugned order dated August 31, 2024, issued under Section 73 of the UPGST Act, is quashed and set aside. The reasoning provided is that the petitioner's GST registration was cancelled prior to the issuance of the notice under Section 73. The Court directed the respondent authority to serve the notice properly upon the petitioner, grant an opportunity to file a reply, and provide an opportunity for a personal hearing before passing any orders in accordance with the law. The ratio decidendi is that proceedings under Section 73 of the UPGST Act cannot validly commence or continue if the assessee's registration has already been cancelled without proper notice and opportunity.
Key Issues
1. Whether the impugned order dated August 31, 2024, issued under Section 73 of the UPGST Act for the financial year 2019-20, is liable to be quashed on the ground that the petitioner's GST registration was cancelled prior to the issuance of the notice. Petitioner's Contention: The petitioner argued that the order passed under Section 73 of the UPGST Act is invalid because their GST registration had already been cancelled before the notice was issued. This procedural defect vitiates the subsequent proceedings and the order. Revenue's Contention: The judgment does not record any specific arguments made by the revenue or the State in response to the petitioner's challenge. The counsel for the State was heard, but their submissions are not detailed in the provided text.
Sections Cited
Section 73
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2025:AHC:119582-DB
Court No. - 3 Case :- WRIT TAX No. - 3286 of 2025 Petitioner :- M/S Chauhan Ent Udyog Respondent :- State of U.P. and Another Counsel for Petitioner :- Abhishek Shukla,Sundaram Singh Counsel for Respondent :- C.S.C. Hon'ble Shekhar B. Saraf,J. Hon'ble Praveen Kumar Giri,J.
Heard learned counsel appearing on behalf of the petitioner and Sri Ankur Agarwal, learned counsel appearing on behalf of the State.
This is a writ petition under Article 226 of the Constitution of India wherein the writ petitioner has sought for the following substantial relief: "i. Issue an appropriate writ, order or direction quashing the impugned order dated 31.08.2024 u/s 73 of the UPGST Act issued by respondent no.2 for the financial year 2019-20."
From perusal of the facts, it is clear that petitioner's registration was cancelled prior to issue of notice under Section 73 of the Uttar Pradesh Goods and Services Tax Act, 2017. 4. In light of the same, the impugned order dated August 31, 2024 is quashed and set aside.
The respondent authority is directed to serve the notice properly upon the petitioner, grant an opportunity to file the reply, opportunity of personal hearing, and thereafter, pass orders in accordance with law.
With the above directions, the writ petition is disposed of. Order Date :- 22.7.2025 Kuldeep (Praveen Kumar Giri, J.) (Shekhar B. Saraf, J.) KULDEEP SINGH High Court of Judicature at Allahabad
Reproduced from the public record of the Allahabad High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.