WRIT PETITION 6841/2025

*IN THE HIGH COURT OF DELHI AT NEW DELHIDate of Decision: 20[th]May, 2025

+W.P.(C) 6841/2025ASIAN TRADERS THROUGH ITS PROPRIETOR SUMIT

CORAM:

JUSTICE PRATHIBA M. SINGHJUSTICE RAJNEESH KUMAR GUPTA

Prathiba M. Singh, J. (Oral)

1.This hearing has been done through hybrid mode.

CM APPL. 31006/2025 (for exemption)

2.Allowed, subject to all just exceptions. Application is disposed of.

W.P.(C) 6841/2025

3.The present petition has been filed by the Petitioner – Asian Tradersunder Articles 226 and 227 of the Constitution of India seeking inter alia thequashing of the order of cancellation of registration dated 17[th]April, 2025(hereinafter, ‘the impugned order’). Vide the impugned order, the GSTRegistration of the Petitioner has been cancelled w.e.f. 19th August, 2022.

4.The case of the Petitioner is that the Petitioner had itself applied for

cancellation of registration on 11[th]March, 2025 and the same was given effecton 21[st]March, 2025, which was communicated to the Petitioner on 28[th]March, 2025 by e-mail.

5.However, the Petitioner’s grievance is that the Respondent No. 1-Department revoked the order of cancellation of GST Registration dated 21stMarch, 2025 and thereafter, issued show cause notice for cancellation andITC blocking on 2[nd]April, 2025 leading to the impugned order dated 17[th]April, 2025, which is under challenge in the present petition.

6.Ld. Counsel for the Petitioner submits that since the Petitioner’sapplication for cancellation was already filed and the GST Registrationalready stood cancelled vide order dated 21[st]March, 2025 by the time theimpugned order was passed, the subsequent cancellation vide the impugnedorder is not sustainable.

7.On the other hand, ld. Counsel for the Respondent No.1-Departmentsubmits that there was specific input from the Anti-Evasion Commissionerate,CGST (West) that the Petitioner is found as non-existent firm duringphysical verification. The said letter dated 7[th]March, 2025 issued by the AntiEvasion Commissionerate, CGST (West) is relevant and is set out below :

Signature Not Verified

8.Thus, it is the case of the Respondent No. 1-Department that in view of

the above communication, the show cause notice dated 2[nd]April, 2025 wasissued and the consequent impugned order was passed.

9.Heard. This Court is of the opinion that the impugned order is clearlyan appealable order under Section 107 of the Central Goods and Service TaxAct, 2017. The Petitioner’s stand that the application for revocation of GSTRegistration dated 11th March, 2025 was filed prior to the issuance of theshow cause notice dated 2nd April, 2025 would not be correct, inasmuch as,the letter received from the Anti Evasion Commissionerate is dated 7[th]March,2025 and it appears that the Petitioner may have obviously learnt of the saidphysical inspection and has thereafter applied for cancellation on 11[th]March,2025.

10.Thus, this Court is of the opinion that this petition does not merit anyinterference of this Court and challenge, if any, shall be taken up by thePetitioner before the appellate authority in appeal.

11.Accordingly, the Petitioner is granted time till 10th July, 2025, to filean appeal before the appellate authority under Section 107 of the CentralGoods and Service Tax Act, 2017.

12.If the appeal is filed by the Petitioner before 10th July, 2025, the sameshall be adjudicated upon merits and shall not be dismissed on the ground oflimitation.

13.It is also made clear that the observations made by this Court in thepresent petition shall have no bearing upon the decision of the appellateauthority. All rights and remedies of both parties are left open.

14.At request, Respondent No. 2 - Deputy Commissioner, Zone-5, StateGoods and Service Tax Act, Department of Trade & Taxes, Delhi, is deletedfrom the array of parties.

15.The petition is disposed of in the above terms. Pending application(s),if any, also stand disposed of.

PRATHIBA M. SINGHJUDGE

MAY 20, 2025/nd/ss

RAJNEESH KUMAR GUPTAJUDGE