Mangaldev Construction Company Vs Commissioner (Rajasthan High Court)
Accountant Fails to File GST Returns, Taxpayer Unaware of Proceedings: Rajasthan HC Restores Delayed Appeal for Decision on Merits
Summary: The Rajasthan High Court considered a writ petition filed by Mangaldev Construction Company seeking restoration of GST registration with effect from 14.05.2023 and setting aside of the Order-in-Original dated 27.05.2023 and the Order-in-Appeal dated 10.06.2024. The petitioner submitted that its proprietor, Inder Singh Rathore, was not adequately educated or technically competent to handle the online GST filing system and had relied upon an accountant/local advocate for statutory compliances. According to the petitioner, the accountant/local advocate neither informed him about the requirement of online filing of GST returns nor filed the returns, resulting in non-filing for a continuous period of six months. The petitioner also stated that he was unaware of the show cause notice and the Order-in-Original and learned about the order subsequently, after which the appeal was filed but dismissed on the ground of delay. The respondents opposed the petition, contending that the appeal had rightly been dismissed as barred by limitation. The Court observed that the petitioner’s stated reasons for non-compliance appeared genuine and noted that its earlier Division Bench judgments had directed delayed GST appeals to be entertained on merits. The Court accordingly allowed the writ petition, set aside the order dated 10.06.2024 passed by the Appellate Authority, and directed the Appellate Authority to consider and decide the petitioner’s appeal on its own merits in accordance with law, subject to the petitioner firm depositing late fees, penalty and other statutory deposits for entertaining the appeal, as admissible. The Court did not decide the substantive GST dispute on merits.
