2023 (10) TMI 149 - HC - GST

Cancellation of GST registration of petitioner - non-filing of returns during the month of October, November and December 2022 - HELD THAT - The petitioner appears to be a person engaged in Automobile spare parts. The learned counsel for the petitioner submits that the petitioner has filed a return on 17.02.2023. However, there are no records to substantiate the same. Be that as it may, Court is inclined to permit the petitioner to pursue the appellate remedy before the Appellate Commissioner under Section 107 of the TNGST Act, 2017, within a period of 30 days from the date of receipt of a copy of this order - petitioner shall however pre-deposit a sum of Rs.15,000/- along with the appeal over and above any amount that is due from the petitioner which shall be subject to final appropriation/adjustment, after order is passed by the Appellate Commissioner. Petition disposed off.

Summary

Issues Involved:
Challenge to cancellation of registration u/s Rule 22(3) read with 29 of TNGST Act, 2017.
Clarity on notice for personal hearing under Article 226 of the Constitution of India.
Failure to reply, appear for personal hearing, and avail statutory remedies u/s 30 and 107 of TNGST Act, 2017.

Issue 1: Challenge to cancellation of registration:
The respondent cancelled the petitioner's registration under Rule 22(3) read with 29 of the TNGST Act, 2017, due to non-payment of tax, interest, and penalty beyond three months, and failure to file returns for October, November, and December 2022. The petitioner claimed to have filed a return belatedly on 17.02.2023. The petitioner contended that the notice in GST REG-17 lacked clarity regarding the venue for a personal hearing scheduled on 17.02.2023, seeking intervention under Article 226 of the Constitution of India.

Issue 2: Failure to avail statutory remedies:
The Special Government Pleader argued that the petitioner was given sufficient time to respond and attend the personal hearing but failed to do so. Additionally, the petitioner did not apply for revocation of cancellation u/s 30 of the TNGST Act, 2017, nor did they appeal to the Appellate Authority u/s 107 of the same Act. The Court directed the petitioner to pursue the appellate remedy before the Appellate Commissioner within 30 days, requiring a pre-deposit of Rs.15,000/- along with the appeal, subject to final adjustment post the Appellate Commissioner's decision.

In the judgment, the Court considered the petitioner's occupation as dealing in automobile spare parts. Despite the petitioner's claim of filing a return on 17.02.2023, there were no supporting records. The Court, inclined to grant relief, allowed the petitioner to opt for the appellate remedy under Section 107 of the TNGST Act, 2017, within a specified timeframe, with a pre-deposit requirement. The writ petition was disposed of without costs, and connected miscellaneous petitions were closed accordingly.