Order date – 10 November 2022

Facts –

• The Petitioner, M/s Nagson And Co, due to financial constraints and also due to covid-19 pandemic could not make GST payments on time.
• A show cause notice dated 13.12.2019 issued and subsequently on 28.12.2020 an order passed cancelling the GST registration.

Issue –

• Whether the cancellation of GST registration is in order?

Order –

• The Hon’ble High Court observed that due to financial constraints and covid-19 pandemic and on account of bonfide reasons, unavoidable circumstances and sufficient cause, it is not possible for him to not only file the GST returns and make payments within the stipulated time, but also could not prefer the appeal within the prescribed period.
• HC also stated that the explanation offered by the petitioner in not making GST payment and delay in filing appeal deserves to be and by adopting a justice oriented approach, deem it just and appropriate to set aside the impugned order and direct the 2nd respondent to restore the GST registration of the petitioner, subject to payment of all dues by the petitioner.