Statutory appeal limitation bars delayed condonation, while restored GST registrations cannot be unsettled after departmental implementation.
Section 107(4) of the CGST Act confines condonation of delayed appeals to its express outer period; a statutory appellate authority has no inherent or equitable power to extend that limit, and writ relief cannot enlarge appellate jurisdiction. Departmental implementation of orders restoring cancelled GST registrations can preclude a challenge to that restoration where taxpayers have resumed business and reversal would disturb intervening transactions. The revocation remedy under Section 30 and Rule 23 operates independently of the appellate remedy under Section 107; expiry of the portal-based revocation period does not bar an appeal against registration cancellation.
Issues: (i) Whether the First Appellate Authority could condone delay in filing appeals beyond the outer condonable period under Section 107(4) of the Central Goods and Services Tax Act, 2017; (ii) Whether the Department's appeals remained maintainable after it had implemented the impugned orders and restored the respondents' registrations; and (iii) Whether the taxpayers' inability or failure to pursue revocation under Rule 23 of the Central Goods and Services Tax Rules, 2017 barred their statutory appeals under Section 107 of the Central Goods and Services Tax Act, 2017.
Issue (i): Whether the First Appellate Authority could condone delay in filing appeals beyond the outer condonable period under Section 107(4) of the Central Goods and Services Tax Act, 2017.
Analysis: Section 107(1) prescribes the ordinary limitation for an appeal and Section 107(4) permits condonation only within the further period expressly stipulated. The First Appellate Authority, being a statutory authority, possesses no inherent or equitable power to extend that outer limit. Relief granted by a High Court under Article 226 of the Constitution of India in the peculiar facts of a writ proceeding cannot enlarge the statutory appellate jurisdiction. Equity follows the law, and a statutory limitation cannot be overridden through reliance on constitutional-court directions.
Conclusion: The First Appellate Authority lacked jurisdiction to condone delay beyond the outer statutory limit; this issue is decided in favour of the Revenue.
Issue (ii): Whether the Department's appeals remained maintainable after it had implemented the impugned orders and restored the respondents' registrations.
Analysis: The Department implemented the impugned orders by revoking the registration cancellations, following which the taxpayers resumed business and their registrations remained active. This subsequent development materially altered the parties' legal and commercial position. The Department could not seek annulment of orders whose consequences it had voluntarily implemented, particularly where no effective or workable relief could thereafter be granted without unsettling intervening genuine transactions.
Conclusion: The Department could not maintain its challenge after implementing the impugned orders; this issue is decided against the Revenue and in favour of the assessees.
Issue (iii): Whether the taxpayers' inability or failure to pursue revocation under Rule 23 of the Central Goods and Services Tax Rules, 2017 barred their statutory appeals under Section 107 of the Central Goods and Services Tax Act, 2017.
Analysis: Once the prescribed period had elapsed, the common portal did not permit applications for revocation under Rule 23. The statutory remedy of revocation under Section 30 and the appellate remedy under Section 107 operate independently. Inability to avail revocation therefore did not extinguish or prejudice the taxpayers' right to challenge cancellation through an appeal.
Conclusion: Non-availment of the revocation route did not bar the taxpayers' appeals; this issue is decided against the Revenue and in favour of the assessees.
Final Conclusion: Although the First Appellate Authority's condonation beyond the statutory limit was jurisdictionally defective, the Department's implementation of the resulting restoration of registrations precluded it from unsettling that relief in the circumstances of these matters.
Ratio Decidendi: A statutory appellate authority cannot condone delay beyond an expressly prescribed outer limit by relying on relief moulded by a constitutional court in exercise of writ jurisdiction.