2024 (6) TMI 1379 - HC - GST

Cancellation of GST registration of petitioner - petitioner could not file returns in time on account of ill-health - HELD THAT - The petitioner is directed to file returns for the period prior to the cancellation of registration, if not filed, 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. Petition disposed off.

Summary

Issues:
Challenge of GST registration cancellation and seeking revocation due to inability to file returns on time.

Analysis:
The petitioner challenged the cancellation of their GST registration, citing inability to file returns on time due to ill-health. The petitioner sought revocation of the cancellation order. The court referred to a previous judgment in Suguna Cutpiece case and decided in favor of the petitioner, issuing specific directions for compliance.

The court directed the petitioner to file returns for the period before the cancellation, along with tax dues, interest, and belated filing fees within 45 days of the order. Importantly, the court specified that the payment should not be made from any unutilized Input Tax Credit (ITC) of the petitioner. Any unutilized ITC must be approved by a competent officer before utilization for future tax liabilities.

Furthermore, the petitioner was instructed to pay GST and file returns for the period after the registration cancellation, declaring the correct value of supplies. Any earned ITC could only be utilized after approval by the respondent or a competent authority. Upon payment of tax, penalty, and return uploads, the registration would be revived immediately.

The court also directed the respondent to make necessary changes in the GST Web portal to facilitate return filing and payment processes for the petitioner within 30 days. The restoration of GST registration was subject to fulfilling all the specified conditions. The writ petition was disposed of with no costs awarded, and connected miscellaneous petitions were closed accordingly.