GST registration cancellation for non-filing may be restored in writ jurisdiction when limitation bars the statutory appeal.

Cancellation of GST registration for non-filing of returns may be interfered with in writ jurisdiction where the default is not shown to be deliberate and the cancellation prevents the assessee from carrying on business. The High Court treated the absence of an effective statutory appeal due to limitation as relevant to the exercise of writ powers, and emphasized that GST law is intended to facilitate trade and revenue collection, not to shut down a small trader. Relief was granted subject to compliance with the directions in the governing precedent, resulting in restoration of registration.

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Issues: Whether the cancellation of GST registration for non-filing of returns should be interfered with in writ jurisdiction, and whether the petitioner could be denied relief merely because the statutory appeal was barred by limitation.

Analysis: The cancellation of registration had the effect of disabling the petitioner from carrying on business and earning livelihood. The Court noted that the petitioner claimed to have entrusted compliance to an accountant and that the default was not deliberate. It further noticed that the appellate remedy under the GST regime was not available because of the limitation bar. Relying on the approach adopted in earlier decisions dealing with similar cancellations, the Court held that the object of the GST law is to facilitate trade and collection of revenue, not to drive a small trader out of business. The Court therefore treated the matter as one warranting exercise of writ jurisdiction to prevent irreparable hardship.

Conclusion: The cancellation order was interfered with and relief was granted in terms of the guidelines referred to in the judgment, thereby reviving the petitioner's GST registration on compliance with the directions contained in the governing precedent.

Final Conclusion: The writ petition was effectively allowed by extending equitable relief against the cancellation of GST registration, notwithstanding the failure of the statutory appeal on limitation.

Ratio Decidendi: In cases where cancellation of GST registration would extinguish the assessee's ability to carry on business and the statutory appeal is unavailable on limitation, the High Court may invoke writ jurisdiction to grant restoration relief in order to protect livelihood and legitimate trade, subject to compliance with GST obligations.

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