2022 (12) TMI 1175 - HC - GST

Cancellation of GST registration of petitioner - failure to furnish returns for a continuous period of six months - HELD THAT - Since, the petitioner failed to furnish returns for a continuous period of six months and show cause notice has been sent to him, it is directed that the petitioner shall file an application for revocation under Section 30 of the CGST Act in terms of Rule 23 of the CGST Rules. Though it is time barred, we are inclined to wave the limitation and direct the petitioner to file an application for reviving of G.S.T. registration before the Revenue within a period of 21 days, hence. He shall also comply the other provisions of Section 30 of the U.K. GST Act, that is submission of returns for the defaulted six months and any further completed months after the revocation. In such case, if dues are found to be due from the petitioner and he pays the same, then his case shall be considered liberally by the revenue and shall be disposed of within a period of 30 days. Petition disposed off.

Summary

Issues:
1. Challenge to show cause notice for cancellation of registration
2. Challenge to order for cancellation of registration
3. Revival of GST registration
4. Alternative forum for filing application for revocation of cancellation
5. Requirement to file appropriate returns for six months
6. Direction to file application for reviving GST registration within 21 days
7. Compliance with provisions of Section 30 of the U.K. GST Act
8. Consideration of case by revenue upon payment of dues

Analysis:

1. The petitioner sought relief through a writ petition to quash the impugned Show Cause Notice and Order for Cancellation of Registration issued by the Respondent. The petitioner also requested a Mandamus to direct the Respondent to revive the GST registration. The Court considered the issue in light of a Division Bench judgment, clarifying the Commissioner's role as not being an adjudicating authority under the Uttarakhand GST Act, 2017.

2. The learned counsel for the revenue highlighted Section 30 of the U.K. GST Act, providing an alternative forum for the petitioner to file an application for revocation of the cancellation of GST registration. This alternative required the petitioner to submit appropriate returns for the six months, as mandated by the relevant rules.

3. Since the petitioner failed to furnish returns for six consecutive months, the Court directed the petitioner to file an application for revocation under Section 30 of the CGST Act, waiving the limitation period. The petitioner was instructed to revive the GST registration within 21 days and comply with the provisions of Section 30, including the submission of returns for the defaulted months and any subsequent completed months post-revocation.

4. The Court emphasized that if dues were found to be due from the petitioner and subsequently paid, the revenue would consider the case liberally and dispose of it within 30 days. Therefore, the writ petition was disposed of based on these directions, ensuring compliance with the statutory requirements and providing an opportunity for the petitioner to rectify the default in filing returns and revive the GST registration.