Facts of the Case

The petitioner's GST registration was cancelled by order dated 22.05.2025, pursuant to a show cause notice dated 08.03.2025 issued by the Assistant Commissioner of State Tax, CT & GST, Bhubaneswar-1 Circle. The petitioner, through counsel, expressed readiness to pay the tax, interest, late fee, penalty and any other sum required so that pending returns could be accepted by the Department. The petitioner relied on an earlier coordinate Bench order dated 16.11.2022 in M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack and others (W.P.(C) No.30374 of 2022), submitting that the claim for condonation of delay in seeking revocation was squarely covered by that precedent.

Issues Involved

  1. Whether the delay in invoking the proviso to Rule 23 of the Odisha Goods and Services Tax Rules, 2017 for revocation of a cancelled GST registration can be condoned.
  2. Whether relief similar to that granted in M/s. Mohanty Enterprises could be extended to the present petitioner on identical facts.

Petitioner's Arguments

  • The petitioner is ready and willing to pay the tax, interest, late fee, penalty and any other dues required for the return forms to be accepted.
  • The relief sought, including condonation of delay, is directly covered by the coordinate Bench's order in M/s. Mohanty Enterprises v. The Commissioner, CT & GST, Odisha, Cuttack and others.

Respondent's Arguments

  • The Additional Standing Counsel for the CT & GST Organisation appeared for the Department but did not dispute the applicability of the Mohanty Enterprises precedent to the facts of this case.

Court Order / Findings

  • The Court reproduced paragraph 2 of the Mohanty Enterprises order, which condoned delay in invoking the proviso to Rule 23 of the OGST Rules subject to the petitioner depositing all taxes, interest, late fee and penalty due and complying with other formalities.
  • Applying the same ratio, the Court held that a likewise direction would be made in the present writ petition, noting that the petitioner would get relief in the interest of revenue.
  • The writ petition was disposed of on these terms.

Important Clarification

  • Where a registered person seeks revocation of a cancelled GST registration beyond the period ordinarily permitted, the delay in invoking the proviso to Rule 23 of the OGST/CGST Rules can be condoned on an undertaking to clear all outstanding taxes, interest, late fee and penalty and to comply with other formalities.
  • Such relief is granted because it serves the interest of revenue — by bringing a defaulting registrant back into compliance — while restoring the registrant's ability to carry on business.

Sections Involved

  • Section 29, CGST Act, 2017 — governs cancellation of registration.
  • Section 30, CGST Act, 2017 — provides for revocation of cancellation of registration.
  • Rule 23, Odisha Goods and Services Tax Rules, 2017 — prescribes the procedure and time limit for applying for revocation of cancellation, and its proviso permits condonation of delay in appropriate cases.

Decision – In Favour of

The decision is in favour of the Assessee. The Court condoned the delay and directed that the petitioner's revocation application be considered in accordance with law upon payment of all dues.

Case Details

High Court of Orissa at Cuttack; W.P.(C) No.36030 of 2025; Coram: Hon'ble The Chief Justice Harish Tandon and Hon'ble Mr. Justice Murahari Sri Raman; Date of Order: 19.12.2025.

Link to Download the Order

Click here to view/download the full order

Disclaimer

This content is shared strictly for general information and knowledge purposes only. Readers should independently verify the information from reliable sources. It is not intended to provide legal, professional, or advisory guidance. The author and the organisation disclaim all liability arising from the use of this content. The material has been prepared with the assistance of AI tools.