Facts of the Case: Shrashta Events and Hospitality Services had its registration under the Odisha Goods and Services Tax Act, 2017 cancelled by order dated 17th January, 2025, pursuant to a Show Cause Notice dated 6th November, 2024. The petitioner approached the Orissa High Court expressing readiness and willingness to pay all tax, interest, late fee, penalty and any other sum required for its returns to be accepted by the Department, and sought condonation of the delay in invoking the proviso to Rule 23 of the OGST Rules for revocation of the cancellation, relying on the Court's own earlier decision in M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha (W.P.(C) No. 30374 of 2022).

Issues Involved:

  1. Whether the delay in invoking the proviso to Rule 23 of the OGST Rules for revocation of a cancelled GST registration can be condoned.
  2. What conditions must accompany such condonation.

Petitioner's Arguments:

  • The petitioner was ready and willing to pay the tax, interest, late fee, penalty and any other sum required for the Department to accept its returns, and its claim for relief, including condonation of delay, was covered by the earlier order in Mohanty Enterprises.

Respondent's Arguments:

  • The Department's Junior Standing Counsel appeared but did not raise a contrary submission distinguishing the case from the Mohanty Enterprises precedent.

Court Order / Findings:

  • The Court reproduced the operative direction from Mohanty Enterprises, wherein the delay in invoking the proviso to Rule 23 of the OGST Rules had been condoned subject to the petitioner depositing all taxes, interest, late fee, penalty etc., due, and complying with other formalities, with the revocation application thereafter to be considered in accordance with law.
  • Making a like direction, the Court held that the petitioner would get the same relief in the interest of revenue, and disposed of the writ petition accordingly.

Important Clarification:

  • Delay in invoking the proviso to Rule 23 of the OGST/CGST Rules for revocation of a cancelled GST registration is routinely condoned where the assessee is willing to clear all dues — taxes, interest, late fee and penalty — as this outcome protects government revenue while allowing a genuine assessee back into the compliance fold, rather than leaving the registration permanently cancelled over a procedural default.

Sections Involved:

  • Rule 23, OGST Rules, 2017 — application for revocation of cancellation of registration, and its proviso permitting condonation of delay.

Decision – In Favour of: Assessee, subject to payment of all taxes, interest, late fee and penalty due.

Case Details: High Court of Orissa at Cuttack; WP(C) No. 34119 of 2025; Coram: The Hon'ble The Chief Justice Harish Tandon and Hon'ble Mr. Justice Murahari Sri Raman; Order Date: 04.12.2025.

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