GST Registration Cancellation Overturned: Clerical Error Deemed Inadvertent, Restoration Ordered Swiftly

HC allowed petitioner's writ challenging GST registration cancellation due to clerical error. The court found the cancellation was an inadvertent mistake during application processing. HC directed Deputy Commissioner to restore registration within two weeks and permitted manual filing of restoration application. The case was resolved in favor of the petitioner without imposing costs.

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Issues:
Challenge to cancellation of registration under Central Goods and Services Tax Act, 2017 due to a clerical error in the application form.

Analysis:
The petitioner contested an order cancelling its registration under the Central Goods and Services Tax Act, 2017, based on a clerical error in the registration application form. The error occurred when the factory address was inadvertently duplicated under the section for additional places of business. The petitioner attempted to rectify this mistake by submitting an application for amendment, but due to a selection error by the Accountant, the application was processed as a cancellation request instead of a modification request, leading to the registration cancellation effective from 01.05.2020.

The response from the respondents only mentioned that the cancellation was carried out at the petitioner's request, indicating that the petitioner would need to seek revocation through available revisional remedies. However, the response did not contest the petitioner's explanation or claim that the error was intentional. The court, in the interest of substantial justice, accepted the petitioner's explanation, acknowledging the cancellation request as a simple and inadvertent error. Consequently, the court set aside the impugned order and allowed the petitioner to submit an application for restoration of registration with the correct business details.

To facilitate the restoration process, the court granted permission for the petitioner to manually file the application before the Deputy Commissioner, GST (Central Taxes), as the online access for filing was revoked due to the registration cancellation. The Deputy Commissioner was directed to restore the registration within two weeks from the receipt of the application. The writ petition was allowed with no costs, and connected miscellaneous petitions were closed, concluding the legal proceedings.

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