Challenge to GST Registration Cancellation Dismissed; Assessee Allowed to Apply Afresh

Issue: Whether a writ petition challenging the cancellation of GST registration is maintainable when the assessee has the option to apply for fresh registration.

Facts:

The assessee’s GST registration was cancelled.
The assessee filed a writ petition challenging the cancellation order.

Decision:

The court held that the assessee was not precluded from applying for fresh registration under the CGST Act.
The court dismissed the writ petition challenging the cancellation order.
However, the assessee was granted the liberty to apply for fresh registration.

Key Takeaways:

This case clarifies that a writ petition challenging the cancellation of GST registration is generally not maintainable when the assessee has the option to apply for fresh registration.
The court’s decision emphasizes the availability of alternative remedies and discourages the use of writ jurisdiction for matters that can be addressed through regular procedures.

HIGH COURT OF DELHI

Kirpal Singh

Superintendent Range 118 Central Goods and Service Tax

Yashwant Varma and Harish Vaidyanathan Shankar, JJ.

W.P.(C) No.17799 of 2024

JANUARY 13, 2025

Rahul Gupta and Ajesh Kugan, Advs. for the Petitioner. Rajeev Aggarwal, ASC, Shubham Goel, Siddharth Goel, Mayank Kamra, Anand Pandey, Advs and Aakarsh Srivastava, SC, for the Respondent.

ORDER

CM APPL. 75792/2024 (Ex.)

Allowed, subject to all just exceptions.

The application stands disposed of.

W.P.(C) 17799/2024

1. This writ petition seeks to impugn an order dated 26 April 2021 in terms of which the Goods and Services Tax [“GST”] registration of the writ petitioner had come to be cancelled.

2. Quite apart from the evident laches in approaching this Court, we take note of the indubitable fact that no provision of the Central Goods and Services Tax Act, 2017 [„Act’] renders the writ petitioner ineligible to apply for registration afresh. We also bear in mind the provisions which have been made by the respondent themselves in Circular No. 95/14/2019-GST.

3. Accordingly, while we accord liberty to the writ petitioner to apply and seek registration under the Act afresh, the challenge to the impugned order fails and the writ petition shall consequently stand dismissed.