2023 (4) TMI 905 - HC - GST

Maintainability of appeal - time limitation - appeal not entertained on the ground that the appeal was filed beyond the time limit provided under section 107(4) of the Gujarat Goods and Services Tax Act, 2017 - Cancellation of GST registration of petitioner - notification dated 31.3.2023 - HELD THAT - While learned advocate for the petitioner expressed apprehension that the notification may not apply to the case of the petitioner inasmuch as the registration was cancelled retrospectively, this apprehension stands misplaced in view of the provisions of section 29(2) of the Act, more particularly clause (b) and clause (c) thereof. These provisions are referred to in the above notification itself. Not only that sub-paragraph (b) of the notification mentions that the application for revocation of the cancellation of the registration could be filed only on furnishing returns due upto the effective date of cancellation of registration and that it could be done after payment of any amount of tax due in terms of the returns. In other words, the notification dated 31.3.2023 has opened a window for the defaulting dealers who could now file return and pay the tax. In this view, it will be possible for the petitioner to seek prayer for revocation of the registration by taking advantage of the provisions of the notification. The petition is disposed off.

Summary

Issues Involved:
The issues involved in the judgment are the cancellation of GST registration of the petitioner and the appeal filed beyond the time limit provided under section 107(4) of the Gujarat Goods and Services Tax Act, 2017.

Cancellation of GST Registration:
The petitioner filed a petition to set aside the order cancelling their GST registration due to non-filing of GST returns, which was cancelled retrospectively from 30.4.2021. The appellate authority did not entertain the appeal as it was filed beyond the time limit under section 107(4) of the Act.

Barred by Limitation:
Various contentions were raised by the petitioner's advocate to challenge the cancellation order and the appellate authority's decision. However, granting relief through the writ jurisdiction would circumvent the period of limitation, as the appeal was already barred by limitation.

Notification for Revocation:
A notification dated 31.3.2023 was issued under section 148 of the Central Goods and Services Tax Act, 2017, providing a special procedure for revocation of cancellation of registration for cases cancelled on or before 31.12.2022. This notification applies to the petitioner whose registration was cancelled on 6.1.2022.

Applicability of Notification:
The petitioner's advocate expressed concerns about the retrospective cancellation of registration affecting the notification's applicability. However, the provisions of section 29(2) of the Act, specifically clause (b) and clause (c), support the application of the notification to the petitioner's case.

Revocation Opportunity:
The notification allows defaulting dealers to file returns and pay the tax due, enabling the petitioner to seek revocation of registration. The notification dated 31.3.2023 provides an opportunity for the petitioner to take advantage of its provisions.

Disposition of Petition:
Given the developments and the notification issued, further adjudication in the present petition is deemed unnecessary. The petitioner is advised to take necessary action under the notification dated 31.3.2023. Any future developments in the matter will give rise to a fresh cause of action for the petitioner.