M/S Ejangpo Integrated Farm And Anr vs. The State Of Assam And 2 Ors.
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The petitioners, M/s Ejangpo Integrated Farm and its proprietor Shri Singdon Ronghang, challenged an order dated 16.09.2024 by the Assistant Commissioner of State Tax, Diphu, cancelling their GST registration. The cancellation was based on the failure to file returns for over six months. The petitioners stated that personal difficulties prevented them from providing necessary information to their Chartered Accountant, leading to non-filing of returns and failure to respond to the show cause notice. They later submitted returns for July-September 2024-2025 and sought revocation, but the authorities did not respond as the period for revocation had passed. The petitioners then approached the High Court.
Held
The Court held that the facts of the present case were similar to those in the case of Motaleb Bhuyan Vs. The State of Assam & Ors. (2025) SCC OnLine Gau 1429. Following the precedent set in that case, the Court decided to set aside and quash the order of cancellation of registration dated 16.09.2024. The Court directed the petitioners to file returns for the period from 13.08.2024 until the date of the order within 30 days, noting that if returns were already filed, no re-filing would be necessary. The Court also clarified that the period stipulated in Section 73(10) of the CGST Act, 2017, would be computed from the date of the judgment, except for the financial year 2025-26, which would follow Section 44 of the CGST Act, 2017. The petitioners were also held liable to pay arrears of tax, penalty, interest, and late fees.
Key Issues
1. Whether the cancellation of GST registration for non-filing of returns for more than six months, without considering the subsequent filing of returns and the request for revocation, is sustainable in law, particularly in light of Section 30 of the Assam Goods and Services Tax Act, 2017? Petitioner's arguments: The petitioners contended that due to personal difficulties, they were unable to file returns promptly and failed to notice the show cause notice. They subsequently filed the returns and attempted to seek revocation. They argued that the cancellation was harsh, especially since returns have now been filed and they are liable for tax, interest, and penalties. Revenue's arguments: The judgment does not record specific arguments from the revenue or state respondents. However, the cancellation order was based on the failure to furnish returns for the prescribed period, as per the GST laws.
Sections Cited
Section 30, Section 73(10), Section 44
AI-generated summary — verify with the full judgment below
Cause title — parties, addresses and appearances
JUDGMENT AND ORDER (ORAL) Heard Mr. C. Agarwal, the learned counsel appearing on behalf of the petitioners. Mr. B. Gogoi, the learned Additional Advocate General, Assam appears on behalf of the respondents.
The petitioners herein have filed the instant writ petition challenging the order dated 16.09.2024 passed by the Assistant Commissioner of State Tax, Diphu-1 whereby the petitioners’ registration was cancelled. The brief facts which led to the filing of the instant writ petition are narrated herein under.
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The petitioner No. 2 claims to be the proprietor of the petitioner No. 1 firm. For the purpose of carrying on the business, the petitioner No. 1 was registered under the Central Goods and Services Tax Act, 2017 and was issued a registration number bearing 18CDPPR0948Q4ZD.
It is the case of the petitioners that due to the non-filing of returns by the petitioners for a period of more than 6 (six) months, the petitioners were issued a show cause notice by the Assistant Commissioner of State Tax, for cancellation of the registration in Form GST REG-17/31 dated 13.08.2024 to the petitioners in the portal. It was further mentioned in the said show cause notice that the registration of the petitioners stood suspended w.e.f. 13.08.2024. The petitioners, at the relevant point of time, due to certain personal difficulties, were unable to provide the necessary information to their Chartered Accountant for filing the returns. Consequently, the Chartered Accountant was unable to file the returns in the absence of instructions from the petitioners. The petitioners also failed to take note of the show cause notice issued and, accordingly, did not file any reply thereto. On 16.09.2024, the respondent No.3 cancelled the registration on the ground of failure to furnish return for the prescribed period. The cancellation of the registration was given effect from 16.09.2024. Page No.# 4/5
It is the case of the petitioners that the petitioners had submitted the return for the period July-September for the financial year 2024- 2025. The filing of the return in Form GSTR-3B has been enclosed as Annexures-7 (colly) to the writ petition. It is the case of the petitioners that the petitioners approached the authority for revocation of the order for cancellation under Section 30 of the Assam Goods and Services Tax Act, 2017, but as the period was over, the Respondent Authorities did not respond to the request of the petitioners. It is under such circumstances, the petitioners have approached this Court by filing the present writ petition.
This Court finds it pertinent to take note of that the issue similar to the present one was dealt with by this Court in detail in the judgment rendered in the case of Motaleb Bhuyan Vs. The State of Assam & Ors, reported in (2025) SCC OnLine Gau 1429. 7. It is the opinion of this Court that as the facts of the instant case are similar to those petitioners in the judgment rendered in the case of Motaleb Bhuyan, (supra), the petitioners herein is entitled to similar reliefs. Accordingly, the instant writ petition stands disposed of with the following observations and directions:- (i) The order of cancellation of registration dated 16.09.2024 is set aside and quashed.
Page No.# 5/5 (ii) The petitioners herein are directed to file the returns for the period from 13.08.2024 till date, within 30 days from the date of the instant order. It is observed that if the returns have been filed, there shall no necessity for filing again. (iii) The period as stipulated in Section 73(10) of the CGST Act of 2017 shall be computed from the date of the instant judgment, except for the financial year 2025-26, which shall be as per Section 44 of the CGST Act of 2017. (iv) The petitioners herein shall also be liable to make payment of the arrears, i.e. tax, penalty, interest and late fees.
JUDGE Comparing Assistant
Reproduced from the public record of the Gauhati High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.