Delhi High Court Orders Timely Disposal of GST Registration SCNs; Says Prolonged Suspension Violates Business Rights

Delhi High Court Orders Timely Disposal of GST Registration SCNs; Says Prolonged Suspension Violates Business Rights

The Delhi High Court has ordered the timely disposal of Show cause notice (SCN) pertaining to Goods and Service Tax (GST) registration as prolonged suspension violates business rights.

The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta has observed that the cancellation of GST registration can also completely bring the business of any entity or individual to a standstill, it is directed that the proceedings in the Show Cause Notice shall be completed at the earliest and in any case within a period of 45 days from now.

The petitioner/assessee was aggrieved by  a Show Cause Notice ssued on 19th March, 2024 for cancellation of the GST registration of the Petitioner. Pursuant thereto, the registration of the Petitioner’s firm was also suspended by the Respondent–GST Department with effect from the same date. A reply is stated to have been filed by the Petitioner, however, the proceedings in the Show Cause Notice are not culminating and the GST registration of the Petitioner continues to remain suspended.

The court while disposing of the petition held that a personal hearing shall be given to the Petitioner. The personal hearing notice shall be uploaded on the portal as also communicated at the E-mail address and mobile phone.

Case Details

Case Title: DEEPAK SHARMA Versus COMMISSIONER DEPARTMENT OF TRADE AND TAXES GOVT OF NCT DELHI

Case No.: W.P.(C) 4922/2025

Date:  17.04.2025

Counsel For Petitioner:  Udit Bakshi

Counsel For Respondent: Vaishali Gupta

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