Sanjay Aggarwal vs. Commissioner State Goods And Services Tax Commissioner

Facts

The petitioner, Sanjay Aggarwal, filed a writ petition challenging an order dated 10.03.2025, which cancelled his GST registration due to default in payment of GST. The petitioner's counsel submitted that all pending amounts have been deposited and the petitioner is willing to pay any further dues identified by the department. The petitioner sought liberty to apply for revocation of the cancellation order and requested the court to direct the respondent to consider such an application. The counsel for the Revenue acknowledged this and stated that the department would consider the application sympathetically if the petitioner demonstrates full payment of outstanding dues.

Held

The Court held that the writ petition could be disposed of by granting liberty to the petitioner to move an appropriate application for revocation of the order cancelling his GST registration. This application must be accompanied by evidence demonstrating that all outstanding GST dues have been cleared. The Court directed that if such an application is filed, respondent no.2 shall consider it expeditiously, preferably within four weeks from the date of filing. The reasoning was based on the petitioner's submission of having cleared dues and the Revenue's fair stance of considering the application sympathetically. The ratio decidendi is that a taxpayer who has cleared all dues and demonstrates such clearance should be allowed to seek revocation of a cancelled GST registration, and the authorities should consider such applications promptly.

Key Issues

1. Whether the petitioner should be granted liberty to apply for revocation of the order cancelling his GST registration, and if so, whether the respondent authority should be directed to consider such an application expeditiously. The petitioner argued that he has deposited all pending GST dues and is prepared to clear any further liabilities, thus seeking a chance to regularize his registration. The Revenue did not contest this, agreeing to consider the application sympathetically if the petitioner proves full payment of outstanding dues. The court had to decide if the petitioner's submission and the Revenue's stance warranted a direction for consideration of a revocation application.