Pranabesh Sarkar Vs Superintendent CGST & CX (Calcutta High Court)
In the case of Pranabesh Sarkar vs. Superintendent CGST & CX, the Calcutta High Court addressed the cancellation of GST registration due to non-filing of returns. The petitioner’s registration was revoked after failing to file returns for six months. The petitioner argued that the cancellation was unjust as there was no evidence of tax evasion. Relying on a previous judgment, the Court decided that cancellation should be reconsidered if the petitioner files the overdue returns, pays the outstanding tax, interest, and penalties. The Court noted that such cancellations could hinder tax recovery and business operations. It directed the respondents to restore the registration upon compliance with the conditions. If the petitioner fails to meet these requirements within four weeks, the cancellation would stand. The Court instructed the respondents to activate the portal for the petitioner to complete the necessary filings. The order highlights that GST registration should not be canceled merely for non-filing if there is no evidence of fraudulent activity.
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
The present writ application has been filed, inter alia, challenging the order of cancellation of registration of the petitioner under the Central Goods and Services Tax Act, 2017 and the West Bengal Goods and Services Tax Act, 2017 (Hereinafter referred to as the “said Act”).
