GST registration was cancelled and appeal was delayed by 216 days due to illness and financial hardship — Rajasthan High Court condoned the delay to prevent denial of remedy and directed appeal to be heard on merits.



Issue
Whether the delay of 216 days in filing appeal against cancellation of GST registration could be condoned by the High Court, when the Appellate Authority had no power under Section 107 of the RGST/CGST Act to condone delay beyond the prescribed statutory period.

Rule
Section 107 provides a statutory limitation period for filing appeal, and the Appellate Authority cannot condone delay beyond the outer limit prescribed under Section 107(4). However, the High Court, in exercise of writ jurisdiction under Article 226 of the Constitution, can interfere in deserving cases to prevent grave prejudice and denial of substantive justice.

Application
The Assessee’s GST registration had been cancelled by order dated 21.04.2025. The Assessee filed appeal on 13.03.2026, with delay of 216 days, stating that prolonged illness and acute financial hardship prevented timely filing. The Appellate Authority dismissed the appeal on 27.03.2026 as time-barred, holding that it had no power to condone such delay.
The Court noted that cancellation of GST registration affects business continuity and livelihood. The delay was not treated as deliberate or negligent. Since non-adjudication on merits would cause grave injury and prejudice to the Assessee, the Court followed its earlier consistent view and exercised writ jurisdiction to condone the delay.

Conclusion
The High Court set aside the appellate order dated 27.03.2026, condoned the delay of 216 days, and directed the Appellate Authority to entertain and decide the appeal on merits.

 Impact Analysis
This judgment reinforces that while the Appellate Authority is bound by the strict limitation under Section 107, the High Court can still protect genuine taxpayers where cancellation of GST registration causes business paralysis and denial of livelihood. It gives practical relief where delay is bona fide and refusal to hear appeal would defeat substantive justice.

Title: THAR SOLAR IRRIGATION vs. STATE OF RAJASTHAN
Court: HIGH COURT OF RAJASTHAN
Citation: D.B. CIVIL WRIT PETITION NO. 9329 OF 2026
Dated: 04-05-2026
Provision: Under Section 30, 107, 107(4)