Manoj Kumar Verma vs. Superintendent Central Tax Range Iv Uttarkashi Uttarakhand

Facts

The petitioner, Manoj Kumar Verma, filed a writ petition before the Uttarakhand High Court challenging a Show Cause Notice for Cancellation of Registration dated 18/12/2020 and an Order for Cancellation of Registration dated 31/12/2020, both issued by the Superintendent of Central Tax Range IV, Uttarkashi. The petitioner sought quashing of these notices and orders, and a direction to revive his GST registration. The petitioner is described as a semi-skilled labour working as a painter, whose livelihood depends on his GST registration to raise bills for work executed for private or government agencies. The absence of a GST registration number prevents him from raising bills and affects his employment opportunities.

Held

The Court held that the denial of GST registration can violate a citizen's right to livelihood, which stems from the right to life under Article 21 of the Constitution. The Court acknowledged the hardship faced by individuals like the petitioner, a painter, whose ability to earn a living is directly tied to having a GST registration number to raise bills. The Court referred to its prior judgment in Special Appeal No. 123 of 2022, emphasizing that if individuals are denied their right to livelihood due to cancelled GST registration and lack of remedy, it amounts to a violation of Article 21. Consequently, the Court disposed of the writ petition by granting the petitioner liberty to file an appropriate application before the Superintendent of Central Tax Range IV, Uttarkashi, within ten days. The Court directed that this application be reconsidered and adjudicated upon. Furthermore, noting that the notice sent to the petitioner indicated nil outstanding against him, the respondent was directed to take a lenient view and dispose of the matter within 15 days of the production of a certified copy of the order.

Key Issues

1. Whether the cancellation of the petitioner's GST registration, leading to the denial of his right to livelihood, violates Article 21 of the Constitution of India, given the strict limitations on appeals under GST law? The petitioner argued that the cancellation of his GST registration severely impacts his right to livelihood, which is an integral part of the right to life under Article 21 of the Constitution. He contended that the strict appeal provisions in GST law leave him without a remedy, potentially leading to starvation. The petitioner relied on the High Court's own judgment in Special Appeal No. 123 of 2022, which highlighted the hardship faced by individuals due to the denial of GST registration and its impact on their livelihood. The respondents did not record any specific arguments in the judgment.