Ms K S Traders vs. Union Of INDIA

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WPMB/199/2026HC UttarakhandGSTCNR UKHC01004478202631 March 2026Bench: HON'BLE SHRI JUSTICE MANOJ KUMAR GUPTA,HON'BLE MR. JUSTICE SUBHASH UPADHYAY2 pages

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Facts

The petitioner, M/s K.S. Traders, assailed an order dated 28.07.2023 passed by the GST authorities, which cancelled its GST registration. The cancellation was based on the petitioner's failure to file GST returns within the prescribed period. The petitioner brought to the Court's attention a previous order by a Co-ordinate Bench in a similar case, Writ Petition (M/B) No.39 of 2025. In that case, the Court had permitted the petitioner to apply for revocation of the cancellation order, subject to depositing unpaid tax, interest, and penalty, and directed the authority to decide the application. The petitioner sought similar relief in the present writ petition.

Held

The Court held that the writ petition should be disposed of in the same terms as Writ Petition (M/B) No.39 of 2025. This means the petitioner is permitted to move an application for revocation of the cancellation order within two weeks from the date of the order. Upon filing such an application, and furnishing all pending returns, along with the deposit of unpaid tax, interest, and penalty, the Competent Authority is directed to consider the petitioner's prayer for revocation in accordance with the law within four weeks from the date of receipt of the application. The reasoning is based on parity with the earlier order passed by a Co-ordinate Bench in a similar case. The ratio decidendi is that in cases of GST registration cancellation due to non-filing of returns, if a precedent exists for allowing an application for revocation under specific conditions, similar relief should be extended to other petitioners facing identical circumstances, provided they comply with the stipulated conditions.

Key Issues

1. Whether the petitioner should be granted liberty to file an application for revocation of the GST registration cancellation order, considering the facts and circumstances. The petitioner argued that in identical factual circumstances, a Co-ordinate Bench of this Court had allowed the petitioner in Writ Petition (M/B) No.39 of 2025 to move an application for revocation of the cancellation order. The petitioner contended that they should be granted similar liberty. The revenue or State (respondent nos.2 and 3) stated that they had no objection if the present writ petition was disposed of in the same terms as the aforementioned writ petition.

Sections Cited

None explicitly discussed by section number, but the context relates to cancellation of registration and revocation thereof.

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

2026:UHC:2294-DB IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL THE HON’BLE CHIEF JUSTICE MR. MANOJ KUMAR GUPTA AND THE HON’BLE JUSTICE MR. SUBHASH UPADHYAY Writ Petition (M/B) No.199 of 2026 31st March, 2026 M/s K.S. Traders -----Petitioner Versus Union of India and Others ----Respondents ---------------------------------------------------------------------- Presence:- Mr. Pooran Singh Rawat, learned counsel for the petitioner. Mr. Saurabh Adhikari, learned counsel for the Union of India/ respondent no.1. Mr. Vikas Verma, learned counsel for respondent nos.2 and 3 through V.C. ----------------------------------------------------------------------

JUDGMENT : (per Mr. Manoj Kumar Gupta C. J.)

The petitioner has assailed the order dated 28.07.2023 cancelling the GST registration of the petitioner firm on the ground that it has failed to file the returns within prescribed period.

Learned counsel for the petitioner submits that in identical facts and circumstances in WPMB No.39 of 2025 a Co-ordinate Bench has permitted the petitioner therein to file application for revocation of the cancellation order and subject to deposit of unpaid tax along with interest and penalty, the competent authority has been directed to decide the application for revocation of the cancellation order. The operative part

2026:UHC:2294-DB of the order passed in the said writ petition is as follows:

“8. Accordingly, present writ petition is disposed of by permitting petitioner to move an application for revocation of the cancellation order. If he makes such application within two weeks from today and also furnishes all the pending returns and deposits unpaid tax along with interest and amount of penalty, the Competent Authority shall consider the petitioner’s prayer for revocation as per law within four weeks from the date of receipt of such application.”

It is urged that similar liberty may be granted to the petitioner.

Learned counsel for respondent nos.2 and 3 has no objection in case the present writ petition is disposed of in the same terms.

Accordingly, the writ petition is disposed of in the same terms as WPMB No.39 of 2025. 6. Pending application, if any, also stands disposed of.

(MANOJ KUMAR GUPTA, C. J.)

(SUBHASH UPADHYAY, J.) Dated: 31.03.2026 SS

2 SUKHBANT SINGH DN: c=IN, o=HIGH COURT OF UTTARAKHAND, ou=HIGH COURT OF UTTARAKHAND, 2.5.4.20=71978f9c61bfde0ba69967c787b1764ea7bc7dd129a8a6380d 49b1885e628615, postalCode=263001, st=UTTARAKHAND, serialNumber=2D8B71B8D8E345F6B7F95B1DD4FB4BEBD2B7D72C42 261361AED33172F152148D, cn=SUKHBANT SINGH Date: 2026.04.01 12:53:10 +05'30'

Reproduced from the public record of the Uttarakhand High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.