2022 (11) TMI 278 - HC - GST

Cancellation of registration of petitioner - petitioner, wishing to rectify the error, had attempted to submit an application for amendment of the registration certificate - Accountant erroneously had selected 'cancellation from the drop down menu instead of 'modification' - HELD THAT - The only reason cited at paragraph 4 of the counter objecting to the prayer sought, is that the cancellation was effected only at the request of the petitioner. Hence it is for the petitioner to seek revocation of the same, in terms of the revisional remedies available. The counter does not dispute the explanation put forth by the petitioner or state that the error was not caused on account of an inadvertent mistake. The explanation tendered by the petitioner is accepted and it is held that the request for cancellation was only a simple and inadvertent error - the impugned order is set aside and the petitioner is permitted to make an application seeking restoration of registration, setting out the correct details of the principal and additional places of business. Petition allowed.

Summary

Issues:
Challenge to cancellation of registration under Central Goods and Services Tax Act, 2017 due to a clerical error in the application form.

Analysis:
The petitioner contested an order cancelling its registration under the Central Goods and Services Tax Act, 2017, based on a clerical error in the registration application form. The error occurred when the factory address was inadvertently duplicated under the section for additional places of business. The petitioner attempted to rectify this mistake by submitting an application for amendment, but due to a selection error by the Accountant, the application was processed as a cancellation request instead of a modification request, leading to the registration cancellation effective from 01.05.2020.

The response from the respondents only mentioned that the cancellation was carried out at the petitioner's request, indicating that the petitioner would need to seek revocation through available revisional remedies. However, the response did not contest the petitioner's explanation or claim that the error was intentional. The court, in the interest of substantial justice, accepted the petitioner's explanation, acknowledging the cancellation request as a simple and inadvertent error. Consequently, the court set aside the impugned order and allowed the petitioner to submit an application for restoration of registration with the correct business details.

To facilitate the restoration process, the court granted permission for the petitioner to manually file the application before the Deputy Commissioner, GST (Central Taxes), as the online access for filing was revoked due to the registration cancellation. The Deputy Commissioner was directed to restore the registration within two weeks from the receipt of the application. The writ petition was allowed with no costs, and connected miscellaneous petitions were closed, concluding the legal proceedings.