Tai Saktar vs. The Union Of INDIA And 2 Ors
Original PDF →Facts
The petitioner, Tai Saktar, operating as M/s T S Enterprises, was unable to file GST returns from March 2020 due to the Covid-19 pandemic. Subsequently, his GST registration (No. 12GVRPS6736P12G) was cancelled on March 9, 2022, by the Superintendent of Central Goods and Service Tax, Naharlagun Zone-I, following a show cause notice. Upon attempting to resume business in December 2024, the petitioner discovered the cancellation. He claims to have filed all pending returns up to January 2022 and paid late fees and penalties. However, the statutory period for revocation of cancellation, including any extendable period under Section 30 of the CGST Act, had expired, preventing him from applying for revocation. The petitioner approached the High Court seeking a direction to revoke the cancellation order, expressing willingness to pay any outstanding GST dues, fines, and penalties.
Held
The Court held that the present case was similar to previous cases where similar relief was granted. Specifically, it referred to the order dated 24.02.2025 in WP(C) 70(AP)/2025 and an order dated 03.01.2025 in WP(C) 7057(AP)/2024. The Court found it inclined to pass a conditional order setting aside the cancellation order. The reasoning was based on the precedent set by these earlier judgments, which allowed for revocation of GST registration cancellation subject to the petitioner fulfilling certain conditions. The ratio decidendi is that in exceptional circumstances, particularly those arising from disruptions like the Covid-19 pandemic, and in line with judicial precedent, High Courts can direct the revocation of GST registration cancellation even beyond the normal statutory period, provided the petitioner clears all outstanding dues. The operative direction was to set aside the cancellation order dated 09.03.2022, subject to the petitioner paying all statutory dues within 21 days of intimation, after which the Superintendent would revoke the cancellation and restore the registration.
Key Issues
1. Whether the Court can direct the revocation of GST registration cancellation beyond the statutory period of limitation prescribed under Section 30 of the CGST Act, 2017, considering the circumstances arising from the Covid-19 pandemic? The petitioner argued that due to the expiry of the statutory and condonable periods for revocation under Section 30 of the CGST Act, he could not avail the prescribed remedy. He relied on a previous order of the High Court in WP(C) 70(AP)/2025 (Ms. Yassung Yangfo v. Union of India & 2 Ors.) which granted conditional relief for revocation of GST registration cancellation. The petitioner expressed readiness to pay all pending GST dues, fines, and penalties. The revenue, represented by the learned standing counsel for GST, did not dispute the petitioner's submission that the present case was similar to the one decided in WP(C) 70(AP)/2025. No specific arguments were recorded for the revenue beyond this acknowledgment.
Sections Cited
Section 30
AI-generated summary — verify with the full judgment below
Cause title — parties, addresses and appearances
ORDER Date : 10.04.2025
Heard Mr. H. Ape, learned counsel for the petitioner. Also heard Mr. Tony Meto, learned counsel appearing on behalf of Mr. M. Kato, learned DSGI appearing for respondent no.1 and Mr. M.K. Boro, learned standing counsel for CGST and Central Excise, representing respondent nos. 2 and 3. 2. In brief, the case of the petitioner is that his business/trade under the trade name of M/s. T.S. Enterprises was severely affected due to outbreak of Covid-19 pandemic and therefore, he could not file his GST return since the inception of his business, i.e., from March, 2020 onwards. Subsequently, after issuance of a show cause notice, the GST registration no. 12GVRPS6736P12G of the petitioner was cancelled vide order under Reference No. ZA120322000606C dated 09.03.2022 passed by the Superintendent, GST, Naharlagun Zone-I.
The petitioner claims that when he returned back to resume his business in the month of December, 2024, he found that his GST registration was cancelled. The petitioner claims that he has filed all his pending GST returns till January, 2022 and also paid the late fine and penalties. However, as the period of limitation as prescribed under Section 30 of the CGST Act including the extendable period had expired, the petitioner could not apply for revocation of the cancellation of his registration.
The learned counsel for the petitioner has submitted that, in view of the Page No.# 3/4 expiry of the statutory period of limitation as well as the condonable period, the petitioner has not preferred any appeal and has approached this Court seeking a direction upon the respondent authorities to revoke the order of cancellation. The petitioner has projected that he is ready and willing to pay all the GST dues, fines/penalties, etc., for the pending GST returns, if allowed.
The learned counsel for the petitioner has referred to the order dated 24.02.2025 passed by this Court in WP(C) 70(AP)/2025 in the matter of Ms. Yassung Yangfo v. Union of India & 2 Ors., by which this Court had passed conditional order for directing the respondent authorities to revoke the cancellation of the GST registration, subject to complete payment of all the dues.
On a query of this Court, the learned standing counsel for the GST has not disputed the projection that the present case is similar to the one which has been disposed of by order dated 24.02.2025 passed by this Court in WP(C) 70(AP)/2025. 7. Thus, it is seen that a similar order has already been passed by the Coordinate Bench of this Court including order dated 03.01.2025, passed in WP(C) 7057(AP)/2024 in the matter of Krishanu Borthakur v. Union of India.
Accordingly, in light of the order dated 24.02.2025 passed by this Court in WP(C) 70(AP)/2025 and order dated 03.01.2025 passed in WP(C) 7057(AP)/2024, and subject to conditions hereinafter provided, the order bearing Reference No. ZA120322000606C dated 09.03.2022 passed by the Superintendent, GST, Naharlagun Zone-I is hereby set aside. The Court is inclined to pass the following conditional orders:
Page No.# 4/4 i. The Superintendent, GST, Naharlagun Zone-I (respondent no.3), will intimate the petitioner his total statutory outstanding dues, if any, in the name of the petitioner having trade name of M/s. T.S. Enterprises till the date of cancellation of the GST registration and any penalty and fine as may be found due as on the date of restoration of the GST registration so as to enable the petitioner to make payment of the entire statutory dues under CGST Act by the petitioner. ii. The petitioner shall make the payment of the due within 21(twenty one) days from the date of receipt of intimation. iii. Upon a proof of payment made within time allowed being submitted, the respondent no.3 will pass an appropriate order to revoke the order dated 09.03.2022 bearing reference No. ZA120322000606C and thereby restore the GST registration of the petitioner.
Accordingly, with the aforesaid conditional order, this writ petition stands disposed of.
The parties are left to bear their own cost.
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.