A. Sridhar Works Contractor Vs Deputy State Tax Officer (Telangana High Court)
Summary: The Telangana High Court permitted M/s. A. Sridhar Works Contractor to submit a physical application for revocation of cancellation of its GST registration after the time available for pursuing the statutory remedy had expired. The petitioner’s GST registration certificate bearing No. 36GDSPS3988A1ZT had been cancelled through Form GST REG-19 dated 09.01.2024 for non-filing of returns for a consecutive period of six months. Since the petitioner had become time-barred from preferring an appeal against the cancellation order, it approached the High Court seeking revocation of the cancellation. The petitioner submitted that there were no outstanding GST dues and explained that returns had not been filed because the proprietor lacked knowledge regarding tax matters and had erroneously believed that no GST returns were required when turnover was NIL and the business was temporarily suspended. Serious health issues and financial losses were also cited, along with lack of awareness of the show cause notice. The petitioner further stated that although it sought to apply for revocation, the GST portal did not permit submission because the prescribed time limit had expired. The State submitted that it had no instructions regarding the assertion that no outstanding dues remained, while acknowledging that the apparent reason for cancellation was non-filing of returns for six consecutive months. Considering the facts and circumstances, the Division Bench directed that if the petitioner approached the competent authority within one week with a physical application for revocation, the authority should entertain it and decide it in accordance with law within three weeks thereafter. The writ petition was disposed of without costs.
FULL TEXT OF THE JUDGMENT/ORDER OF TELANGANA HIGH COURT
Learned counsel Sri Ullewad Sai Charan appears for the petitioner.
Sri Swaroop Oorilla, learned Special Government Pleader for State Tax, appears for respondents No.1 to 4.
2. The Goods and Services Tax (GST) registration certificate of the petitioner bearing No.36GDSPS3988A1ZT was cancelled vide impugned order passed in Form GST REG-19 dated 09.01.2024 for non-filing of returns for a consecutive period of six months. Now, it is time-barred to prefer an appeal by the petitioner against the order of cancellation of GST Registration certificate. Therefore, the petitioner has filed the instant Writ Petition for revocation of cancellation of GST Registration Certificate.
3. Learned counsel for the petitioner submits that there are no Goods and Services Tax dues left to be paid by the petitioner. It is submitted that non-filing of returns was for the reason that the proprietor of the petitioner lacks the knowledge with regard to tax matters. He erroneously believed that no GST returns were required to be filed on the basis that the turnover was NIL as the business was temporarily suspended. Therefore due to his serious health issues and financial losses, no returns were filed during that period. The petitioner was also unaware of the show cause notice. There is no intentional delay. Though the petitioner has sought to file an application for revocation of cancellation of GST registration certificate but the GST portal does 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 he does not have instruction on the assertion that no outstanding dues remain against the petitioner. He, however, submits that the apparent reason for cancellation of GST registration certificate was on account of non-filing of returns for the 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 certificate of the petitioner was cancelled on account of non-filing of returns for the consecutive period of six months, if the petitioner approaches the competent authority within a period of one week from today for submission of application for revocation of cancellation of GST registration certificate, 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.
