Case Law Details
Saroja Kumar Pani Vs Commissioner of Commercial (Orissa High Court)
Orissa High Court addressed the challenge raised by Saroja Kumar Pani against the cancellation of his GST registration under the Odisha Goods and Services Tax Act, 2017. Representing the petitioner, Mr. Mohanty argued that the cancellation order dated February 17, 2023, was issued following a show cause notice on January 16, 2023. He submitted that his client was prepared to clear all outstanding tax liabilities, including interest, late fees, and penalties, for the department to accept his return filings. To support his plea, he relied on a previous ruling in M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack, where a similar delay was condoned, allowing revocation of GST registration upon payment of dues.
The Court acknowledged the precedent set in the Mohanty Enterprises case and adopted a similar approach. It referred to the earlier judgment, which condoned the delay in invoking the proviso to Rule 23 of the Odisha GST Rules. The Court directed that the petitioner’s application for revocation be considered, provided all tax liabilities were settled. As the relief was granted in the interest of revenue collection, the writ petition was disposed of accordingly. This decision reinforces the principle that taxpayers willing to comply with tax obligations should be given an opportunity to restore their GST registration.
FULL TEXT OF THE JUDGMENT/ORDER OF ORISSA HIGH COURT
1. Mr. Mohanty, learned advocate appears on behalf of petitioner and submits, under challenge is show cause notice dated 16th January, 2023 followed by order dated 17th February, 2023 cancelling his client’s registration under Odisha Goods and Services Tax Act, 2017. He submits, his client is ready and willing to pay the tax, interest, late fee, penalty and any other sum required to be paid for the return form of his client to be accepted by the department. He relies on order dated 16th November, 2022 of coordinate Bench in W.P.(C) no.30374 of 2022 (M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack and others). He submits, his client’s claim to relief including prayer for condonation of delay is covered by said order.
2. Mr. Das, learned advocate, Additional Standing Counsel appears on behalf of the department.
3. We reproduce below paragraph-2 from said order in M/s. Mohanty Enterprises (supra).
“2. In that view of the matter, the delay in Petitioner’s invoking the proviso to Rule 23 of the Odisha Goods and Services Tax Rules (OGST Rules) is condoned and it is directed that subject to the Petitioner depositing all the taxes, interest, late fee, penalty etc., due and complying with other formalities, the Petitioner’s application for revocation will be considered in accordance with law.”
Likewise direction is made in this writ petition. Petitioner gets the relief in the interest of revenue.
4. The writ petition is disposed of.
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