2024 (7) TMI 171 - HC - GST

Cancellation of GST registration of petitioner - failure to file returns - 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 Involved:
Challenge to cancellation of GST registration and seeking revocation.

Analysis:
The petitioner, a stunt choreographer, challenges the cancellation of his GST registration and seeks its revocation. He had engaged an accountant for GST compliance but was surprised by the cancellation order. The petitioner had filed GST returns until December 2022 and expressed willingness to file pending returns if registration is restored. The petitioner relied on the judgment in Suguna Cutpiece for restoration. The Government Advocate accepted notice and suggested following directions similar to Suguna Cutpiece.

The High Court issued the following directions:
i. The petitioner must file returns for the period before registration cancellation, pay tax dues, interest, and belated filing fee within 45 days.
ii. Payment should not be made from unutilized Input Tax Credit (ITC) without approval.
iii. Unutilized ITC must be scrutinized and approved by a competent officer before use.
iv. Approved ITC can be used for future tax liabilities.
v. The petitioner should pay GST and file returns for the period after registration cancellation, declaring correct supplies value.
vi. Earned ITC can be used only after approval by the respondent or competent authority.
vii. Registration will be revived upon tax payment, penalty, and return submission.
viii. The respondent must update the GST Web portal for filing returns and payment within 30 days.
ix. Restoration of GST registration is subject to fulfilling the specified conditions.

The writ petition was disposed of with no costs, and connected miscellaneous petitions were closed accordingly.