The non-restoration of GST (Goods and Services Tax) registration refers to the situation where the registration of a person under the GST law is cancelled, and the person's request for restoration of registration is not accepted by the GST authorities.
The GST registration may be cancelled by the GST authorities for various reasons, such as non-filing of GST returns, non-payment of GST dues, or non-compliance with GST provisions. Once the registration is cancelled, the person cannot collect GST from customers or claim input tax credit on purchases made, and they may face penalties and interest for non-compliance.
The person whose registration is cancelled may apply for restoration of registration if they rectify the issues that led to the cancellation of registration. The GST authorities may either accept or reject the application for restoration of registration based on the merits of the case.
If the application for restoration of registration is rejected, the person's GST registration remains cancelled, and they cannot conduct any GST-related transactions. This can have significant implications on a person's business and livelihood, as they may not be able to operate in the same manner as before.
However, the GST law provides for a mechanism for the person whose registration is cancelled to appeal against the decision of the GST authorities to cancel or reject the restoration of registration. The person can approach the Appellate Authority for Advance Ruling or the Appellate Tribunal to challenge the decision.
It is important for businesses to comply with the GST provisions to avoid the cancellation of registration and subsequent non-restoration of registration, which can have severe consequences on their operations and livelihood.
The cancellation or non-restoration of GST registration can have significant impacts on a person's livelihood. However, whether it can be considered a violation of the right to livelihood would depend on the specific circumstances of each case.
Under the Constitution of India, the right to livelihood is recognized as a fundamental right under Article 21, which protects the right to life and personal liberty. The Supreme Court has held that the right to livelihood is an integral part of the right to life under Article 21 and that any action that impairs or destroys the right to livelihood would be a violation of this fundamental right.
However, the cancellation or non-restoration of GST registration is a legal process that is governed by the provisions of the GST law. The cancellation of registration may occur due to various reasons, such as non-compliance with GST provisions, non-filing of GST returns, non-payment of GST dues, or voluntary cancellation of registration.
The GST law provides a mechanism for aggrieved persons to appeal against the cancellation of registration or non-restoration of registration. They can approach the Appellate Authority for Advance Ruling or the Appellate Tribunal to challenge the decision.
Therefore, whether the non-restoration of GST registration can be considered a violation of the right to livelihood would depend on the facts and circumstances of each case. If the cancellation of registration or non-restoration of registration was done without following the due process of law or in violation of the principles of natural justice, it may be considered a violation of the right to livelihood. However, if the cancellation or non-restoration of registration was done in accordance with the provisions of the law, it may not be considered a violation of the right to livelihood.
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