2021 (12) TMI 719 - Commissioner - GST

Time limitation for filing appeal - Cancellation of GST registration - taxpayer has not filed the due GSTR-3B returns - whether or not the appeal filed against the order of cancellation to be decided? - HELD THAT - The appellant has filed returns upto date of cancellation of registration hence, the appellant has substantially complied with the above said provisions of the CGST Act/Rules, 2017 in the instant case - the registration of appellant may be considered for revocation by the proper officer. The proper officer is ordered to consider the revocation application of the appellant after due verification of payment particulars of tax, late fee, interest and status of returns - appeal disposed off.

Summary

Issues:
Appeal against cancellation of GST registration due to non-filing of returns.

Analysis:
1. Issue of Filing the Appeal: The appellant filed an appeal under Section 107 of the Central Goods and Service Tax Act, 2017 against the impugned order cancelling their GST registration. The appeal was filed 23 days beyond the prescribed time limit, but as per Section 107(4) of the Act, the delay was condoned, and the case was decided on merits.

2. Grounds for Appeal: The appellant cited personal problems, health issues, and COVID-related challenges as reasons for not filing GST returns on time. They highlighted that all pending returns were filed along with taxes, penalties, and interest. During the virtual personal hearing, the authorized representative presented these arguments.

3. Compliance with Rules: The appellant submitted evidence of filing pending returns, tax payments, and penalties. The Commissioner noted that the appellant substantially complied with Rule 23 of the CGST Rules, 2017, which outlines the revocation of cancellation of registration process. The Central Board of Indirect Taxes & Customs circular further clarified the requirements for revocation in cases of non-filing of returns.

4. Decision: After reviewing the facts, submissions, and relevant provisions, the Commissioner found that the appellant met the necessary criteria for revocation of registration. Consequently, the appeal was allowed, and the proper officer was directed to consider the revocation application after verifying tax payments, late fees, interest, and return statuses. The appeal was disposed of accordingly.