MR Trading Co Vs Deputy State Tax Officer (Telangana High Court)
Telangana High Court Allows Manual Revocation of Cancelled GST Registration- Relief Granted to Taxpayer After Expiry of Time Limit for Revocation Application
The Telangana High Court in M/s. MR Trading Co v. Deputy State Tax Officer once again adopted a taxpayer-friendly approach in matters involving cancellation of GST registration due to non-filing of returns. The Court permitted the taxpayer to submit a physical application for revocation of cancellation despite expiry of the statutory timelines prescribed under the GST law.
Introduction
Cancellation of GST registration for continuous non-filing of returns has become a recurring issue under the GST regime. In many cases, businesses facing financial difficulties or operational setbacks fail to file returns within the prescribed timelines, resulting in automatic cancellation of registration by the department.
Once the limitation period for revocation expires, the GST portal generally disables the option for filing revocation applications electronically. Taxpayers are then left with limited remedies and are compelled to approach High Courts seeking permission to revive their GST registrations.
The Telangana High Court has consistently shown a pragmatic approach in such cases by allowing manual filing of revocation applications where the cancellation arose from procedural non-compliance rather than fraudulent conduct.
