Sri Surya Enterprises Vs Deputy State Tax Officer (Telangana High Court)
Telangana High Court allows taxpayer to file physical application for revocation of GST registration cancelled due to non-filing of returns
The Telangana High Court disposed of the writ petition by permitting the petitioner to submit a physical application for revocation of cancellation of GST registration within one week. The petitioner’s GST registration had been cancelled by order in Form GST REG-19 dated 23.08.2024 for non-filing of returns for a consecutive period of six months. A time-barred appeal against the cancellation was rejected on the ground of delay. The petitioner submitted that business losses after the Covid-19 pandemic and the consultant’s failure to file NIL returns resulted in the default, and that the GST portal did not permit filing an application for revocation beyond the prescribed time limit. Taking note that the registration had been cancelled for non-filing of returns for six consecutive months, the High Court directed that, if the petitioner submits a physical application for revocation within one week, the competent authority shall entertain it and decide the application in accordance with law within three weeks thereafter. The writ petition was disposed of without any order as to costs, and pending miscellaneous applications, if any, were directed to stand closed.
FULL TEXT OF THE JUDGMENT/ORDER OF TELANGANA HIGH COURT
Heard Mr. K.P.Amarnath Reddy, learned counsel appearing for the petitioner and Mr. Swaroop Oorilla, learned Special Government Pleader for State Tax appearing for the respondents.
2. The Goods and Services Tax (GST) registration certificate of the petitioner bearing GST No.36ABBFS8608L1ZR was cancelled vide impugned order in Form GST REG-19 dated 23.08.2024 for non-filing of returns for a consecutive period of six months. The petitioner preferred a time-barred appeal against the order of cancellation of GST registration, which has been rejected on the ground of delay. Thereafter, the petitioner has filed the instant writ petition for revocation of cancellation of GST registration.
3. Learned counsel for the petitioner submits that aftermath Covid-19 pandemic, petitioner suffered heavy losses in the business and could not continue its business and its Consultant failed to file NIL returns. It is submitted that non-filing of returns was for the reason that the proprietor of the petitioner has completely relied upon the Consultant for filing of the monthly returns and he was also unaware of the show cause notice and there was no intentional delay. Though the petitioner has sought to file an application for revocation of cancellation of GST registration, the GST portal did not permit the petitioner as being beyond the time limit prescribed for submission. Therefore, the petitioner prays that respondent No.1 may be directed to entertain the petitioner’s application manually and take a decision thereupon in accordance with law.
4. Learned Special Government Pleader for State Tax submits that the apparent reason for cancellation of GST registration of the petitioner was on account of non-filing of returns for a consecutive period of six months.
5. Having regard to the aforesaid facts and circumstances and also taking note of the fact that the GST registration of the petitioner was cancelled on account of non-filing of returns for a consecutive period of six months, if thepetitioner approaches the competent authority within a period of one week from today for submission of application for revocation of cancellation of GST registration, in physical form, the competent authority would entertain it and take a decision thereupon in accordance with law within a period of three weeks thereafter.
6. The instant Writ Petition is, accordingly, disposed of. There shall be no order as to costs.
Miscellaneous applications pending, if any, shall stand closed.
