The Delhi High Court has condoned the delay in filing the appeal against retrospective GST cancellation subject to the cost of Rs. 20,000.
The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta has observed that the Show Cause Notice was not served upon him and no documents, which were found to be the basis of the said Show Cause Notice, have also been served to the Petitioner. Moreover, the cancellation of the GST registration of the Petitioner is also retrospective in nature.
The Petitioner’s Goods and Service Tax (GST) registration was cancelled and affirmed by Sales Tax Officer. The cancellation of the GST registration of the Petitioner has been given effect from 1st July, 2017. The Petitioner did not participate in the proceedings at all and then filed an appeal before the Appellate Authority. The appeal has been dismissed on the ground of being barred by limitation.
The limitation for filing an appeal under Section 107 of the Central Goods and Service Tax Act, 2017 is three months which can be further extended by a period of one month. The said period has already expired.
The Petitioner contended that the Show Cause Notice was not served upon him and no documents, which were found to be the basis of the said Show Cause Notice, have also been served to the Petitioner. Moreover, the cancellation of the GST registration of the Petitioner is also retrospective in nature.
The court noted that since the grounds for seeking permission to file the appeal against the order was that the Petitioner did not have knowledge of the SCN and the subsequent proceedings arising therefrom.
The court while exercising jurisdiction under Article 226 of the Constitution of India was of the opinion that an opportunity ought to be afforded to the Petitioner to assail the order on merits.
The court while exercising writ jurisdiction under Article 226 of the Constitution of India, the Petitioner’s appeal is directed to be heard on merits, subject to payment of Rs.20,000 as costs with the Department of Trade & Taxes, Government of National Capital Territory of Delhi.
Case Details
Case Title: M/S A P Manufacturing Co Versus The Special Commissioner I Appellate Authority & Anr.
Case No.: W.P.(C) 6262/2025, CM APPL. 28637/2025 & CM APPL. 28638/2025
Date: 13.05.2025
Counsel For Petitioner: Pritish Sabharwal
Counsel For Respondent: Vaishali Gupta
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