Case Details : Paari Industries Pvt. Ltd. vs. Assistant Commissioner, Chennai (2025) 33 Centax 404 (Mad.)
Judiciary and Counsel Details
- Pratibha M. Singh & Shail Jain, JJ.
- Shri P. Suresh Babu, for the Petitioner
- Shri T.N.C.Kaushik, Additional Government Pleader (Taxes), for the Respondent
Facts of the Case
The petitioner was a registered taxpayer under the GST Act. He failed to file GSTR-3B due to the ill health of the Director. Consequently, the respondent issued a show cause notice for the cancellation of GST registration for non-filing of GSTR-3B and subsequently passed an order of cancellation. The matter reached the Madras High Court.
High Court held
The High Court held that the reason provided by the petitioner for non-compliance with the relevant provisions of the Act within the stipulated time appeared to be genuine. The restoration of GST registration was subject to and conditional upon the petitioner fulfilling the following conditions :a) The petitioner shall file the returns for the period till date, if not filed, together with tax dues along with interest thereon and the fee fixed for belated filing of returns within a period of 4 weeks from the date of restoration of GST Registration of the petitioner. b) It is made clear that such payment of tax, interest, fine/fee etc., shall not be allowed to be made or adjusted from and out of any Input Tax Credit (ITC) which may be lying unutilized or unclaimed in the hands of the petitioner. c) If any ITC has remained unutilized, it shall not be utilised until it is scrutinized and approved by an appropriate or competent officer of the Department. d) Only such approved ITC shall be allowed to be utilized thereafter for discharging future tax liability under the Act and Rules. e) If any ITC was earned, it shall be allowed to be utilised only after scrutinizing and approving by the respondent or any other competent authority.
