2020 (7) TMI 258 - HC - GST

Revocation of cancellation order - rejection of first appeal - Section 107 of GST Act - HELD THAT - The orders dated 27.5.2019 passed by the respondent no. 4 and 22.1.2020 passed by the respondent no. 3 are set aside. The application dated 10.5.2019 which was filed by the petitioner for the revocation of the cancellation order dated 16.4.2019 shall now be decided in accordance with law within a period of 15 days from the date of production of a copy of this order. Petition disposed off.

Summary

Issues:
1. Cancellation of registration under the Goods and Services Tax Act, 2017.
2. Application for revocation of cancellation order.
3. Interpretation of Central Goods and Services Tax (Removal of Difficulties) Order, 2020.
4. Challenge to orders of Assessing Authority and First Appellate Court.
5. Relief sought through writ petition.

Analysis:
The petitioner had his registration under the Goods and Services Tax Act, 2017 canceled by the Assessing Authority on 16.4.2019 under Section 29(2)(c) of the Act. Subsequently, the petitioner applied for the revocation of the cancellation order, which was rejected on 27.5.2019. In response, the petitioner filed a First Appeal under Section 107 of the Act, which was dismissed on 22.1.2020. Due to the absence of Tribunal, a writ petition was filed challenging the orders of the Assessing Authority and the First Appellate Court.

The crux of the petitioner's argument was based on the Central Goods and Services Tax (Removal of Difficulties) Order, 2020, issued under Section 172 of the Act. The petitioner's counsel contended that the orders of the Assessing Authority and the First Appellate Court could not be upheld in light of this Order. The Gazette Notification issued on 25.6.2020 clarified the period for filing an application for revocation of cancellation of registration for individuals who received notice under specific clauses of the Act until 12th June, 2020. The Notification provided a revised timeline for such cases, which the Standing Counsel did not dispute.

In light of the above interpretation of the Central Goods and Services Tax (Removal of Difficulties) Order, 2020, the High Court set aside the orders dated 27.5.2019 and 22.1.2020 passed by the authorities. The application filed by the petitioner for revocation of the cancellation order dated 16.4.2019 was directed to be decided in accordance with the law within 15 days from the date of the court's order. The Authority concerned was instructed to verify the correctness of the order from the Official Website of the High Court, Allahabad, if a certified copy was not submitted. Consequently, the writ petition was disposed of, providing relief to the petitioner in line with the revised guidelines of the Removal of Difficulties Order, 2020.