No New Grounds Allowed at Appeal Stage Without Prior Notice: Allahabad HC Restores GST Registration

The Allahabad High Court restored a GST registration, stating that no new grounds are allowed at the appeal stage without prior notice to the assessee. The court emphasized the principles of natural justice, which require that the assessing authority cannot introduce new reasons or grounds for rejecting a registration or taking adverse action against a taxpayer during the appeal process without first informing the assessee and providing an opportunity to respond. The restoration of the GST registration indicates that the appellate authority had considered new grounds without adhering to this fundamental principle of fairness. This ruling reinforces the importance of transparency and due process in GST proceedings, ensuring that taxpayers are aware of the basis for any adverse decisions and have a fair chance to defend their case at every stage.