M/S Banyan Projects INDIA PVT LTD vs. Local Goods And Services Tax Officer-45
Original PDF →Facts
The petitioner, M/s Banyan Projects India Pvt. Ltd., filed a writ petition challenging an order dated 22.05.2019 passed by the respondent, the Local Goods and Services Tax Officer-45. This order cancelled the petitioner's GST registration. The petitioner's grievance was that it was not provided with adequate opportunity to explain its failure to furnish returns from October 2018 to April 2019, which led to the cancellation. The respondent authority acknowledged that the primary reason for cancellation was the non-filing of returns for the specified period.
Held
The Court held that the petitioner's grievance could be redressed by the respondent authority under Section 30 of the Karnataka Goods and Services Tax Act, 2017. The Court directed the petitioner to submit the pending returns for the tax periods October 2018 to April 2019 within two weeks from the date of receiving a certified copy of the order. Upon submission, the respondent authority was to consider these returns and revoke the cancellation of registration in accordance with Section 30 of the Act. The respondent authority was also directed to assist the petitioner with any technical glitches encountered while filing these returns and subsequent ones. The Court found that the mechanism for revocation of cancellation under Section 30 provided a suitable remedy.
Key Issues
1. Whether the cancellation of the petitioner's GST registration by the respondent authority was justified without providing adequate opportunity for explanation, concerning the non-furnishing of returns for the period October 2018 to April 2019, under the Karnataka Goods and Services Tax Act, 2017? Petitioner's contention: The petitioner argued that it was not given a proper opportunity to present its explanation for the delay in filing returns, leading to the cancellation of its registration. Respondent's contention: The respondent authority conceded that the cancellation was due to non-filing of returns for October 2018 to April 2019. However, the respondent authority stated it was empowered to revoke the cancellation under Section 30 of the Act if the pending returns were submitted within a timeframe fixed by the Court.
Sections Cited
Section 30
AI-generated summary — verify with the full judgment below
Cause title — parties, addresses and appearances
O R D E R
The petitioner has challenged the order dated 22.05.2019, passed by the respondent vide Annexure – A to the writ petition whereby the registration of the petitioner under the provisions of the Karnataka Goods and Services Act, 2017 (‘Act’ for short) has been cancelled.
The grievance of the petitioner is that no adequate opportunity was provided to putforth its explanation for not furnishing the returns well within time from October, 2018 to April 2019, the reason for which the Registration Certificate has been cancelled by the respondent.
Learned counsel appearing for the respondent fairly and rightly submits that the primary reason for cancellation of the Registration Certificate being non-filing of the required returns for the months October 2018 to April 2019, the respondent - authority being empowered to revoke the cancellation of registration under Section 30 of the Act, if such returns for the aforesaid periods are submitted by the petitioner within a time frame to be fixed by this Court, the same shall be considered by the respondent – authority and the cancellation of the registration can be revoked in terms of Section 30 of the Act.
In view of the aforesaid, the petitioner’s grievance could be redressed by the respondent – authority as provided under Section 30 of the Act. In the circumstances, to meet the ends of justice this Court deems it appropriate to direct the petitioner to submit the returns relating to the tax periods for October 2018 to April 2019 within a period of two weeks from the date of receipt of the certified copy of the order before the respondent - authority and on such submission of the returns by the petitioner, the same shall be considered by the respondent - authority in accordance with law and the cancellation of registration can be revoked in terms of Section 30 of the Act.
It is needless to observe that the respondent – authority shall assist the petitioner relating to the technical glitches, if any, in filing the returns for the tax periods October 2018 to April 2019 as well as for the subsequent tax periods.
With the aforesaid observations and directions, the writ petition stands disposed of. JUDGE
PMR
Reproduced from the public record of the Karnataka High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.