Coming down hard on the indirect tax department the Allahabad High Court said the tax department harassed a taxpayer by cancelling his registration and slapped a fine of Rs 10,000.
The high court also revoked the cancellation of registration of the taxpayer on account of “non filing of Goods and Services Tax (GST) returns for 6 months. The court was hearing a writ petition filed by Ansari Construction.
“This case highlights the callous manner in which the assessee (Ansari Construction) has been harassed by the respondents,” the court observed in the case.
The indirect tax department had issued show cause notice to the construction company for not filing GST returns. However, the tax department later accepted that the returns were filed and no dues were pending.
“The show cause notice was completely vague and did not even point out as to what ground the reply was proposed to be sought, the petitioner appeared and apprised that all the returns have already been filed,” the court observed.