GST Registration Cancellation: Revocation Application Permitted Upon Payment of Dues
Summary in Key Points:
- Issue: Should the petitioner be allowed to apply for revocation of their GST registration, which was cancelled for non-filing of returns?
- Facts: The petitioner’s GST registration was cancelled due to non-filing of GST returns for six months. The petitioner expressed willingness to pay the dues for the said period, including any penalty and interest.
- Decision: The court held that the petitioner should be permitted to file an application for revocation of the cancellation.
Important Note: This brief order indicates a willingness on the part of the court to allow the petitioner to seek reinstatement of their GST registration. The fact that the petitioner is ready to pay all outstanding dues, including any applicable penalties and interest, appears to be a key factor in the court’s decision. It suggests a preference for allowing businesses to rectify their non-compliance and resume operations, provided they meet their tax obligations.
HIGH COURT OF UTTARAKHAND
Ramesh Chandra GSTIN
v.
Commissioner State Goods and Services Tax
Pankaj Purohit, J.
Writ Petition Misc. Single No. 3303 of 2024
DECEMBER 5, 2024
Hemant Singh Mahra, Ld. counsel for the Petitioner. Mohit Maulekhi, Ld. Brief Holder for the Respondent.
ORDER
Pankaj Purohit, J.- Heard learned counsel for the parties.
2. By means of this writ petition, petitioner has sought the following reliefs:-
“1. Issue a suitable writ, order or direction in the nature of certiorari calling the record of the case and quash the Cancellation of GST Registration order dated 14.10.2022 Ref. No.ZA0510220092293 and order dated 01.12.2022 Ref. No.ZA0512220005953 passed by respondent no.2 as petitioner is ready to pay all the balance tax, interest on it and late fee, if any, (annexure nos.2 & 4).
2. Issue a suitable writ, order or direction in the nature of mandamus permitting the petitioner to prefer an application under Section 30 of the UKGST/CGST Act, 2017 for filing an application for revocation of the cancellation of the GSTIN 05AONPC2915F2ZA of the petitioner and further direct the respondent no.2 to consider the application of the petitioner in accordance with law.”
3. Petitioner is a proprietorship firm who runs a business under the name and style of ‘M/s Ramesh Chandra’. Petitioner is registered under the Central Goods and Service Tax Act, 2017 (for short “the CGST Act, 2017”).
4. The registration of the petitioner has been cancelled by respondent vide order dated 14.10.2022 for non filing of the GST return for a continuous period of six months.
5. Learned counsel for the petitioner contends that now the petitioner is ready to make the payment towards GST return for a period of six months as well as the penalty and interest, if any, imposed by the respondent-department.
6. Learned counsel for the petitioner submits that identical controversy has been decided by this Court in WPMS No.2285 of 2024.
7. The said submission of learned counsel for the petitioner has not been opposed by learned State Counsel.
8. In view of the consensus between the parties, the matter is covered by the order passed in WPMS No.2285 of 2024, the present writ petition is also decided in terms of the said order. The petitioner shall be at liberty to move an application for revocation or cancellation of the order under Section 30(2) of the CGST Act, 2017, within two weeks.
9. With this application, the petitioner shall also furnish all the GST returns, which he fails to submit and he will also deposit the outstanding dues of tax, interest and penalty of the goods and service tax with his application. If he makes such an application within stipulated period, the Competent Authority shall consider petitioner’s application and pass appropriate order as per law, within four weeks thereafter.
10. Accordingly, the writ petition is disposed of.
11. Pending application, if any, stands disposed of.