Ms Modi Packers vs. Commissioner Of Central Goods And Services Tax, & Anr.

Facts

The petitioner, MS MODI PACKERS, sought to challenge an order dated 27 May 2023 that cancelled its Goods and Services Tax (GST) registration. The petitioner's GST registration had been suspended since 03 July 2017. The Court noted the inordinate laches on the part of the petitioner and the undisputed fact that the petitioner was aware of the cancellation. The Court also considered a Circular dated 28 March 2019, which states that a prior cancellation does not make a petitioner ineligible to apply for fresh registration.

Held

The Court held that there were no grounds to interfere with the impugned order dated 27 May 2023 cancelling the petitioner's GST registration. The Court took into account the evident and inordinate laches on the part of the petitioner and the undisputed fact that the registration had been suspended since 03 July 2017, indicating the petitioner's awareness of the situation. Furthermore, the Court referred to the Circular dated 28 March 2019, which clarifies that a prior cancellation does not preclude a petitioner from applying for fresh registration. Consequently, the Court found no reason to set aside the cancellation order. The operative direction was to leave it open to the writ petitioner to apply for registration afresh, if they chose to do so. No issue was expressly left undecided.

Key Issues

1. Whether the writ petitioner is entitled to challenge the order dated 27 May 2023 cancelling its GST registration, considering the inordinate delay and the fact that the registration was suspended from 03 July 2017? (Question of law and fact, turning on principles of delay and laches, and the petitioner's awareness of the cancellation). Petitioner's Contention: The judgment does not record any specific arguments made by the petitioner regarding the cancellation order itself, beyond the filing of the writ petition. Revenue's Contention: The respondents, represented by the Commissioner of Central Goods and Services Tax and another, likely argued that the writ petition should be dismissed due to the petitioner's laches and awareness of the suspension and subsequent cancellation of registration. They may have also relied on the Circular dated 28 March 2019 to suggest that the petitioner has recourse to apply for fresh registration.