HC directed restoration of GST registration being beneficial for State to earn revenue

Case Details: Pearl and Co. v. Commissioner of Commercial Taxes - [2022] 145 taxmann.com 71 (Madras)

Judiciary and Counsel Details

• • M. Nirmal Kumar, J
  • S.Karunakaran for the Appellant.
  • S. Kameswaran, Govt. Adv. for the Respondent.

Facts of the Case

The GST registration of petitioner was cancelled on account of non-filing of returns and it requested for revocation of cancellation of registration. It submitted that it had provided all details with the part time accountant for filing of GST returns but the accountant was admitted to hospital for medical treatment and he didn’t furnish returns. However, the request for revocation of cancellation of registration was rejected on ground that it was time-barred. It filed writ petition seeking revocation of registration.

High Court Held

The Honorable high Court noted that no useful purpose will be served by keeping petitioner out of the Goods and Services Tax regime as it would still continue to do business and supply goods/services and this would be against the interest of the revenue. Therefore, by keeping in mind observations of Court in case of Tvl. Suguna Cutpiece Center [2022] 135 taxmann.com 234 (Madras), the directed the department to revoke cancellation of registration and allowed the petition subject to payment of tax & penalty and filing of returns.