Case Title: M/s. JBS Royal Touch India Pvt. Ltd. v. Additional CT & GST Officer, Bhubaneswar-III Circle
Court: High Court of Orissa at Cuttack
Petition No.: W.P.(C) No. 4722 of 2025
Category: Revocation of Cancellation of GST Registration / Delay Condonation
Date of Judgment: 18 February 2025
Relevant Sections: Section 29 and Section 30 of the CGST Act, 2017; Rule 23 of the OGST Rules, 2017
Facts (Para 1):
The petitioner, M/s. JBS Royal Touch India Pvt. Ltd., challenged the show-cause notice dated 2 December 2021 and the consequent order dated 1 July 2022 cancelling its GST registration under the CGST Act. The petitioner expressed readiness to pay all dues—tax, interest, late fee, and penalty—to regularize its returns. It relied on the decision of a Coordinate Bench in M/s. Mohanty Enterprises v. Commissioner, CT & GST, Odisha (W.P.(C) No. 30374 of 2022, order dated 16 November 2022), wherein similar relief had been granted.
Questions before the Court:
Whether the delay in invoking the proviso to Rule 23 of the OGST Rules for revocation of cancelled registration could be condoned, and whether the petitioner could be permitted to restore registration upon payment of all dues and compliance with law.
Observations (Paras 2–3):
The Court observed that in Mohanty Enterprises (supra), delay in seeking revocation under Rule 23 had been condoned subject to deposit of all taxes, interest, late fee, and penalty. The Bench reproduced para 2 of that judgment and held that the same principle applies to the present case. The direction aims to balance the interest of revenue with fairness to the taxpayer, allowing regularization upon due payment rather than perpetuating hardship for procedural delay.
Judgment (Para 4):
Following Mohanty Enterprises, the Court condoned the delay in filing for revocation and directed that the petitioner’s application be considered in accordance with law, subject to payment of all dues and compliance with prescribed formalities. The writ petition was disposed of with relief granted in the interest of revenue.
Summary of Cases Referred:
| Case Name | Citation / W.P. No. | Court | Verdict Summary |
|---|---|---|---|
| M/s. Mohanty Enterprises v. Commissioner, CT & GST, Odisha | W.P.(C) No. 30374 of 2022, 16 Nov 2022 | Orissa High Court | Delay in seeking revocation under Rule 23 condoned; registration restoration permitted on payment of tax, interest, late fee, and penalty. |
Between Fine Lines:
The judgment reiterates the Court’s pragmatic approach—procedural delay should not permanently deny a taxpayer’s right to continue business when substantive dues are cleared. Taxpayers can seek restoration of cancelled registrations by fulfilling Rule 23 conditions, with courts showing leniency if revenue interests are safeguarded.
Disclaimer – “The above summary is for academic purpose only; not formal legal opinion. Seek professional opinion before application. Author or publisher or website shall not be responsible for any usage in any form.”
