2024 (6) TMI 1089 - HC - GST

Cancellation of registration - appeals were not received on the ground of limitation - HELD THAT - The order issued in TVL. SUGUNA CUTPIECE CENTER VERSUS THE APPELLATE DEPUTY COMMISSIONER (ST) (GST) , THE ASSISTANT COMMISSIONER (CIRCLE) , SALEM BAZAAR. 2022 (2) TMI 933 - MADRAS HIGH COURT , was a conditional order and that the respective petitioner should be directed to comply with all conditions stipulated therein. The respective petitioner herein is directed to file returns for the period prior to the cancellation of registration, together with tax dues along with interest thereon and the fee fixed for belated filing of returns within a period of forty five (45) days from the date of receipt of a copy of this order - the petition is disposed off.

Summary

Issues:
Challenge to order of cancellation of registration and seeking revocation.

Analysis:
The petitioner challenged the cancellation of registration, citing inability to file returns on time due to ill-health. The counsel for the petitioner argued that despite efforts to file GST returns and appeal against the cancellation, the appeals were not received within the limitation period. Reference was made to a previous court order for a similar remedy. The Government Advocate representing the respondents acknowledged the previous conditional order and emphasized compliance with all stipulated conditions.

The court, considering the submissions, decided not to delve into the merits of the case. Instead, it disposed of the writ petitions by issuing specific directions. The petitioner was directed to file returns for the period preceding the registration cancellation, along with tax dues, interest, and belated filing fees within 45 days. Importantly, the court specified that such payments should not be made from unutilized Input Tax Credit. Any unutilized credit required scrutiny and approval before utilization. The approved credit could only be used for future tax liabilities under the Act and Rules. Additionally, the petitioner was instructed to pay GST and file returns for the period post-cancellation, declaring accurate supply values.

Furthermore, any earned Input Tax Credit had to undergo scrutiny and approval by the authorities before utilization. Upon payment of tax, penalty, and return submission, the registration would be revived immediately. The court directed the respondents to coordinate with GST Network in New Delhi to facilitate return filing and payment. This process was to be completed within 30 days of the court order. The restoration of GST registration was contingent upon fulfilling all the specified conditions. Finally, the court disposed of the petitions with no costs and closed connected miscellaneous petitions.