Case Law Details
Adil Lateef Shah Vs Union Territory of J and K and Another (Jammu & Kashmir and Ladakh High Court)
In Adil Lateef Shah vs Union Territory of J&K and Another, the Jammu and Kashmir and Ladakh High Court dealt with a petition seeking restoration of GST registration cancelled due to non-response to a show cause notice.
A show cause notice dated July 14, 2024 was issued by the State Taxes Officer, requiring the petitioner to respond within seven days. As no reply was furnished, the authority cancelled the petitioner’s GST registration by order dated August 17, 2024. Aggrieved, the petitioner approached the High Court under Article 226 seeking restoration of registration.
The Court noted that in similar matters, it had consistently directed restoration of GST registration subject to compliance with statutory requirements. It also recorded that the respondents had conceded in such cases that registration could be restored if the dealer files pending returns and pays due taxes, penalty, and interest under the GST law.
Relying on this approach and prior orders, the Court disposed of the petition with specific directions. The petitioner was directed to approach the competent authority within seven days for restoration of registration. Upon such approach, the authority was directed to restore the registration immediately, subject to completion of necessary formalities.
The Court further directed that, after restoration, the petitioner must file all pending returns and deposit applicable taxes, penalty, and interest within seven days. It clarified that failure to comply with these conditions within the stipulated time would render the order ineffective, and the authorities would be entitled to withdraw the restored registration.
The petition was disposed of with these directions.
FULL TEXT OF THE JUDGMENT/ORDER OF JAMMU & KASHMIR AND LADAKH HIGH COURT
1. Pursuant to the show cause notice dated 14th July, 2024, issued by State Taxes Officer, Circle Budgam and Kashmir [STO], the petitioner was called upon to furnish reply within a period of seven days from the date of service of notice. Having received no reply thereto from the petitioner, the STO concerned vide order dated 17th August, 2024 ordered the cancellation of registration of the petitioner under the Goods & Services Tax Act, 2017.
2. The petitioner has invoked Article 226 of the Constitution of India seeking, inter alia, a direction to the respondents to restore his cancelled registration.
3. Similar cases have come up for consideration before this Court wherein, subject to the petitioner’s undertaking to deposit tax and penalty along with the interest in accordance with the provisions of Goods & Services Tax Act, 2017, the directions have been issued to the competent authority to restore the registration.
4. The aforesaid orders have been passed on a concession given by the respondents that they would restore the registration of the defaulting dealers provided they complied by submitting their returns and depositing sales tax dues payable by them under the Goods & Services Tax Act, 2017.
5. Our attention has been invited to an order dated 17th December, 2025 passed in WP(C) 3156/2025.
6. In view of the aforesaid, this petition is disposed of with the direction to the petitioner to approach the competent authority for restoration of his GST Registration within a period of seven days from today.
7. The competent authority shall restore the registration of the petitioner immediately subject to, of course, completion of all requisite formalities.
8. The petitioner shall file all pending returns and deposit the taxes and penalty along with interest within a period of seven days of the restoration of registration.
9. In the event, needful is not done within the stipulated period, this order shall cease to be in operation and the respondents will be well within their right to withdraw the fresh registration.
10. Disposed of.
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