M/S Saraswat Infra And Projects, Sundergarh vs. State Of Odisha

Facts

The petitioner, M/s. Saraswat Infra & Projects, challenged an order dated March 13, 2024, passed by an authority under the Odisha Goods and Services Tax Act, 2017, which cancelled its registration certificate. The petitioner stated its willingness to pay all outstanding taxes, interest, late fees, penalties, and any other sums due. The petitioner relied on a coordinate bench's order in W.P.(C) No.30374 of 2022 (M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack and others), which condoned delay in invoking a rule and directed consideration of revocation subject to deposit of dues. The Standing Counsel for the Department conceded that if the petitioner complied with the undertaking, the concerned authority would take necessary action.

Held

The Court held that in view of the conceded position by the Department and the petitioner's undertaking to make the payments, the matter could be resolved. The Court directed the petitioner to make the payments within two weeks. Upon such compliance, the opposite party (authority) was directed to consider the application for revocation of the cancellation of the registration certificate within a period not later than six weeks from the date of the order. The writ petition was disposed of in light of these directions. The principle established is that High Courts can direct authorities to consider revocation of cancelled GST registrations upon compliance with payment obligations, even if there's a delay, by following precedents and concessions made by the revenue.

Key Issues

1. Whether the petitioner's registration certificate, cancelled by an order dated March 13, 2024, under the Odisha Goods and Services Tax Act, 2017, can be revoked upon payment of all dues, including taxes, interest, late fees, and penalties, considering the delay in seeking revocation. Petitioner's Contention: The petitioner argued that its claim for relief, including condonation of delay for revocation of cancellation, is covered by the coordinate bench's order in M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack and others. They are ready and willing to pay all outstanding amounts. Revenue's Contention: The Standing Counsel for the Department conceded that if the petitioner fulfills its undertaking to deposit the amounts, the concerned authority would proceed accordingly.