GST Registration Revocation Rejection Invalid When Proper Officer Fails to Fix Hearing Date: Gauhati High Court
Background and Overview
The Gauhati High Court, in Hazarika Brothers Vs Union of India And 3 Ors, delivered a significant ruling on 13.08.2026 concerning the procedural requirements that must be fulfilled before a Proper Officer can reject an application for revocation of GST registration cancellation. The Court held that a vague reference to "appointed date and time" — without actually specifying either — does not constitute a valid opportunity of personal hearing under the law, and any rejection order passed in such circumstances cannot survive legal scrutiny.
The case arose from a writ petition bearing WP(C)/3261/2026 before the Gauhati High Court, where the petitioner challenged the order dated 07.05.2026 rejecting its application for revocation of cancellation of GST registration. The Court's ruling reinforces the foundational principle that adverse orders affecting registered assessees must be preceded by a genuine, substantive opportunity to be heard — not merely a procedural formality dressed up in hollow language.
Facts of the Case
GST Registration and Initial Non-Compliance
Hazarika Brothers was a registered assessee under the Central Goods and Services Tax Act, 2017, holding GST Registration Certificate No. 18AADFH8790B1ZA, with a liability date of 01.07.2017, the certificate itself having been issued on 20.09.2017.
On 04.02.2026, the Proper Officer issued a Show Cause Notice in Form GST REG-31 bearing Reference No. ZA180226004369K, invoking Rule 21A of the CGST Rules, 2017. The notice was triggered by the observation that the petitioner had failed to file returns for a continuous period of six months or two consecutive quarters, which falls within the scope of clauses (h) and (i) of Rule 21 of the CGST Rules — provisions that obligate an assessee to file returns under Section 39(1) of the CGST Act.
The Show Cause Notice made clear that such non-compliance prima facie amounted to a contravention of the CGST Act and its Rules, and directed the petitioner either to file the pending returns on the common portal or submit a reply to the jurisdictional Tax Officer within thirty days of receiving the notice.
Simultaneously, the petitioner's GST registration was suspended with effect from 04.02.2026 under Rule 21A(2A) of the CGST Rules, with a further stipulation that the suspension would be lifted only upon filing of returns under Section 39(1) of the CGST Act.
Registration Cancelled Due to Non-Response
The petitioner neither responded to the Show Cause Notice within the prescribed thirty-day window nor filed the requisite returns during that period. Consequently, the Proper Officer passed an Order of Cancellation of Registration on 16.03.2026, citing the twin defaults — failure to reply to the notice and failure to comply with the return-filing obligation under Section 39(1) of the CGST Act.
Revocation Application and the Contested Notice
Aggrieved by the cancellation, Hazarika Brothers filed an application for revocation of cancellation on 06.04.2026 under Section 30 of the CGST Act. The application was registered as Application Reference No. AA180426003053P.
On 20.04.2026, the Proper Officer issued a fresh Show Cause Notice, noting that all Government dues had not been cleared and directing the petitioner to submit proof of payment of late fees relating to GSTR-1 and any applicable interest. The petitioner was directed to furnish a reply within seven working days from the date of service.