Reasoned GST cancellation and extended revocation relief led to restoration of registration and subsequent compliance obligations.

GST registration cancellation was treated as unsustainable where the cancellation order did not disclose reasons and the taxpayer fell within the benefit of Notification No. 03/2023-Central Tax dated 31.03.2023 extending the time for revocation. The Madras HC noted that the dispute was covered by the earlier decision relied on in the judgment and held the petitioner entitled to relief. Registration was directed to be restored, with compliance to follow thereafter by filing returns and paying tax and penalty in accordance with law.

---

---

Issues: Whether cancellation of GST registration was liable to be set aside and the registration restored in view of the absence of reasons in the cancellation order and the benefit of Notification No. 03/2023-Central Tax dated 31.03.2023.

Analysis: The cancellation order did not disclose reasons. The Court noted that the Government had extended the time for revocation under Notification No. 03/2023-Central Tax dated 31.03.2023 and that the petitioner's cancellation fell within the period for which the benefit was held applicable on the facts. The dispute was also treated as covered by the earlier decision relied upon in the judgment, and the petitioner was found entitled to relief.

Conclusion: The cancellation of GST registration was set aside and the respondent was directed to restore the registration, with the petitioner directed thereafter to file returns and pay tax and penalty in accordance with law.

Final Conclusion: The writ petition succeeded and GST registration was ordered to be revived, enabling compliance to follow under the tax law.

Ratio Decidendi: A cancellation of GST registration lacking reasons can be interfered with where the taxpayer is entitled to the benefit of a later beneficial notification extending the time for revocation.

---