01Facts
The petitioner carried on business as M/s Euro Fashion, with a principal place of business and an additional place of business in Guwahati; his GST registration covered both premises.
pp. 3–4A landlord–tenant dispute concerning the additional premises was pending, and an interim order directed the parties to maintain status quo. The petitioner was depositing rent under the Assam Urban Area Rent Control Act, 1972.
p. 3On 18 June 2026, the tax authority issued a show-cause notice seeking cancellation because the petitioner had not submitted a rent agreement for the additional premises.
pp. 4–5After the petitioner replied and the High Court directed the authority to consider that reply, the authority cancelled his registration on 14 July 2026 for failure to submit the agreement.
pp. 4–502Issues
i.1. Whether failure to produce a rent agreement for an additional place of business could justify cancellation of the petitioner’s GST registration under the applicable provisions of the CGST Act and Rules.
pp. 6–9ii.2. Whether the cancellation was consistent with the documentation requirements in Form REG-01, which the Court found addressed proof of the principal place of business.
pp. 9–1103Law Applied
Section 29(2)(a) of the Central Goods and Services Tax Act, 2017 permits cancellation where a registered person contravenes prescribed provisions of the Act or Rules; cancellation must follow an opportunity to be heard.
pp. 6–7Rule 21 of the CGST Rules, 2017 makes registration liable to cancellation in specified circumstances, including where a person does not conduct business from the declared place of business.
pp. 7–9Rule 25 provides for physical verification of business premises in certain cases.
p. 9The Court also considered Rule 8 and Form REG-01, noting that the form’s listed documentary requirements concern proof of the principal place of business, including alternatives where a rent or lease agreement is unavailable.
pp. 9–10Provisions in the judgment · 8 · Linked ones open on LawLens
Central Goods and Services Tax Act, 2017 Section 10Section 16Section 25Section 29Section 37Section 39Section 171
Assam Urban Areas Rent Control (Amendment) Act, 1972 Section 5
04Reasoning
The show-cause notice and cancellation order concerned the absence of a rent agreement for the additional place of business, while the petitioner had submitted a rent agreement for the principal place.
pp. 4, 9–11The Court held that the statutory grounds in Section 29(2), read with Rule 21, did not support cancellation merely because the petitioner had not produced an agreement for the additional premises.
pp. 9–11Form REG-01 prescribed documentation for the principal place, not the additional place; accordingly, cancellation on the stated ground was contrary to the Act, Rules, and form.
pp. 9–1105Holding
The Court allowed the writ petition and set aside the show-cause notice dated 18 June 2026, the speaking order, and the cancellation order dated 14 July 2026.
pp. 11–12It directed restoration of the petitioner’s GST registration with effect from its suspension on 18 June 2026, with no order as to costs.
pp. 11–12Original Court PDF
Mohammed Luthfur RahmanvsThe Union Of India And 2 Ors.
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