GST--Cancellation of Registration

Cancellation of Registration--Taxpayer has Option to File Either Application for Revocation or Appeal to Appellate Authority

CA. Satyadev Purohit

The learned author seeks to make an analytical study of the issue as to whether rejection of appeal against order of cancellation of registration is valid merely because the assessee did not file application for revocation of cancellation of registration. The issue is being discussed in the lights of Karnataka High Court decision in the case of Shailaja Chandrashekar v. Addl. CCT (Karn-HC), Writ Petition No. 17778 of 2022, decided on 13-10-2022.

1. Suo moto cancellation of registration by proper officer

Sub-section (2) of section 29 deals with suo moto cancellation of registration by the proper officer. Accordingly, the proper officer may cancel the registration of a person from such date, including any retrospective date, as he may deem fit, where,--

(a) a registered person has contravened such provisions of the Act or the rules made thereunder as may be prescribed; or

(b) a person paying tax under section 10 has not furnished the return for a financial year beyond three months from the due date of furnishing the said return; or

(c) any registered person, other than a person specified in clause (b), has not furnished returns for such continuous tax period as may be prescribed; or

(d) any person who has taken voluntary registration under sub-section (3) of section 25 has not commenced business within six months from the date of registration; or