GST registration cancellation set aside, with restoration conditioned on filing pending returns and payment of costs.

GST registration cancellation and the appellate refusal to restore registration were interfered with on the peculiar facts, where the taxpayer had received show-cause notices and filed a reply but sought a return to regular business. The Court balanced the revenue's interest in bringing the assessee back into the formal tax regime with the need to permit restoration, and set aside both orders. It directed that all pending GST returns for the period of cancellation be filed and costs be paid as a condition for consideration of revocation of registration.

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Issues: Whether the orders cancelling GST registration and dismissing the appeal against revocation could be set aside, and whether the petitioner should be permitted to seek restoration of registration by filing pending returns and paying costs.

Analysis: The petitioner had been issued show cause notices and had filed a reply, so the matter was not one of complete denial of hearing. However, considering the petitioner's intention to return to regular business and the interest of the revenue in bringing the assessee back into the formal tax regime, the cancellation and appellate orders were found fit to be interfered with in the peculiar facts of the case. The Court directed filing of all pending GST returns for the period during which registration remained cancelled and payment of costs as a condition for consideration of revocation.

Conclusion: The cancellation order and the appellate order were set aside, and the authority was directed to consider revocation of registration upon submission of pending returns and payment of costs.

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