Divyanshu Kumar vs. Govt Of Nct Of Delhi & Anr.

Facts

The petitioner, Divyanshu Kumar, filed a writ petition challenging two orders dated September 16, 2022, and July 3, 2024, which resulted in the cancellation of his Goods and Service Tax registration. The petitioner sought to challenge these cancellation orders before the High Court. The respondents were the Government of NCT of Delhi and the CGST authority. The Court noted the significant delay in filing the petition.

Held

The Court held that there was no justification to entertain the writ petition due to evident laches. The Court found no reason to invoke its extraordinary writ jurisdiction under Article 226 of the Constitution. The Court took into consideration Circular No. 109/28/2019-GST dated March 28, 2019, issued by the Central Board of Indirect Taxes and Customs, which clarifies that a person whose GST registration has been cancelled is not disentitled from applying for fresh registration. Consequently, the writ petition was disposed of, subject to the liberty granted to the writ petitioner to apply for registration afresh.

Key Issues

1. Whether the High Court should entertain a writ petition challenging GST registration cancellation orders, given the evident laches on the part of the petitioner? This issue turns on the discretionary powers of the High Court under Article 226 of the Constitution. The petitioner argued for the intervention of the Court, while the respondents likely contended that the delay disentitled the petitioner to relief. The Court also considered the implications of a relevant circular.