Abound It Services Vs State of Gujarat & Ors (Gujarat High Court)
The Gujarat High Court heard a petition filed by Abound IT Services challenging the cancellation of its GST registration and the related appellate order. The petitioner sought to quash the order in appeal dated 02.08.2025, the show-cause notice for cancellation of registration dated 03.07.2024, and the cancellation order dated 31.08.2024, issued under Section 29(2)(c) of the GST Act for failure to file returns from March 2024 to May 2024. The petitioner also requested restoration of its GST registration with effect from 29.02.2024.
The petitioner, through counsel, filed an affidavit showing that although GST returns had not been filed for the relevant period, the tax liability had already been computed and fully discharged by depositing the corresponding amount in the Electronic Cash Ledger. The Court took the affidavit on record. The petitioner argued that it was ready and willing to file all pending returns and had paid the due tax, interest, and late fees, as verified in the ledger.
The respondent authorities, represented by the Assistant Government Pleader, did not oppose the petitioner’s request to file returns but emphasized that any filing should be processed and verified in accordance with law under Section 29(2)(c) of the GST Act. It was confirmed that the petitioner had already deposited Rs. 46,93,112 through various challans in the Electronic Cash Ledger on the GSTN portal, as per Section 49 of the Gujarat SGST Act and Rule 87 of the SGST Rules. This amount included Rs. 39,72,494 towards tax dues, Rs. 5,26,632 towards interest, and Rs. 1,35,020 as late fees for the period from March 2024 to June 2025.
