Delhi High Court - Orders
Tata Steel Limited vs The Government Of Nct Of Delhi, Through ... on 21 July, 2025
Author: Prathiba M. Singh
Bench: Prathiba M. Singh
$~50
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 10289/2025
TATA STEEL LIMITED .....Petitioner
Through: Mr. Devashish Bharuka, Sr. Adv. with
Mr. Abhijeet Kumar Pandey, Adv. (M:
8587073661)
versus
THE GOVERNMENT OF NCT OF DELHI,
THROUGH THE SECRETARY, COMMERCIAL
TAXES DEPARTMENT & ANR. .....Respondents
Through: Ms Avni Singh, Panel Counsel for
GNCTD. (M: 99580 18998)
CORAM:
JUSTICE PRATHIBA M. SINGH
JUSTICE RAJNEESH KUMAR GUPTA
ORDER
% 21.07.2025
1. This hearing has been done through hybrid mode.
2. The present petition has been filed by the Petitioner - Tata Steel Limited under Article 226 of the Constitution of India, inter alia, assailing the order dated 1st August, 2024 passed the Respondent 2- Sales Tax Officer Class-II, AVATO, Ward-7 (hereinafter, 'impugned order') by which the application for cancellation of Goods and Service Tax (hereinafter, 'GST') registration filed by M/s Tata Steel BSL Ltd. has been rejected.
3. The brief background is that pursuant to the takeover of M/s Bhushan Steel Ltd. by M/s Tata Steel Ltd. through Corporate Insolvency Resolution Process (hereinafter, 'CIRP'), the said company was named as M/s Tata Steel BSL Ltd. The said company i.e. M/s Tata Steel BSL Ltd. filed an application for cancellation of its GST registration on 6th December, 2021 in view of the W.P.(C) 10289/2025 Page 1 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 22/07/2025 at 22:05:27 amalgamation of M/s Bhushan Steel Ltd. with M/s Tata Steel Ltd. This application has been rejected vide the impugned order.
4. However, the same was also preceded by a Show Cause Notice (hereinafter, 'SCN') dated 30th April, 2024 calling upon the Petitioner to furnish certain details. Reply to the said SCN was to be filed by 9th May, 2024. It appears that the Petitioner did not get knowledge of the said SCN and the impugned order dated 1st August, 2024 has been passed in the following terms.
"Order of Rejection of Application for Registration This has reference to your reply filed vide ARN AA0712210120526 dated 06/12/2021. The reply has been examined and the same has not been found to be satisfactory for the following reasons:
1 The firm not replied to the SCN till date.
Hence in the absence of the reply, an application for cancellation of registration, of the firm, is rejected.
Therefore, your application is rejected in accordance with the provisions of the Act."
5. Submission of Mr. Bharuka, ld. Senior Counsel appearing for the Petitioner is that the impugned order, which has been passed, is without any reasoning. Moreover, a wrong form has been issued to the Petitioner.
6. According to the ld. Senior Counsel, there is no explanation or reasoning given as to why the application seeking cancellation of GST registration has been rejected. It is his submission that it is only due to the merger of the Company, that its GST registration was sought to be cancelled and there is no ground to reject the same. Moreover, it is submitted by the ld. Senior Counsel, that the SCN dated 30th April, 2024 was uploaded on the GST W.P.(C) 10289/2025 Page 2 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 22/07/2025 at 22:05:27 portal and never came to the knowledge of the Petitioner.
7. Issue Notice. Ms. Avni Singh, ld. Counsel is requested to accept the notice for Delhi Goods and Service Tax Department.
8. A perusal of the impugned order would show that the same is bereft of any reasoning whatsoever and the only reason given is that the SCN has not been replied to. On the basis of the said reason, the application for cancellation of GST registration has been rejected. Moreover, the impugned order is wrongfully titled as 'Order rejecting the application for registration'.
9. There appears to be a complete non-application of mind by the Respondent No. 2. The only ground due to which the Petitioner filed the said application was on account of merger of the two companies. However, there is no reason given by the Respondent No. 2 as to why the GST registration of the Petitioner cannot be cancelled after the merger.
10. Moreover, since the Show Cause Notice dated 30th April, 2024 was uploaded on the GST portal and is stated to have never come to the knowledge of the Petitioner, the same may constitute one of the reasons for non-filing of a reply thereto.
11. Under such circumstances, this Court deems it appropriate to set aside the impugned order dated 1st August, 2024. Let the Petitioner file reply to the SCN dated 30th April, 2024 within 30 days.
12. After the reply to the SCN is filed, let the Petitioner be given personal hearing notice on the following email addresses:
● Email ID: [email protected], [email protected] W.P.(C) 10289/2025 Page 3 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 22/07/2025 at 22:05:27
13. After hearing the Petitioner and considering the reply, the application for cancellation of GST registration shall be decided in accordance with law.
14. All rights and remedies of the parties are left open. Access to the GST Portal, shall be provided within a week to the Petitioner to enable uploading of the reply as also access to the notices and related documents.
15. The petition is disposed of in the above terms. Pending applications, if any, are also disposed of.
PRATHIBA M. SINGH, J.
RAJNEESH KUMAR GUPTA, J.
JULY 21, 2025/dk/ck W.P.(C) 10289/2025 Page 4 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 22/07/2025 at 22:05:27