Second Chance for GST Registration

The Gauhati High Court directed the GST authorities to consider restoration of a cancelled GST registration where the taxpayer had failed to file returns for more than six months due to financial hardship but subsequently expressed willingness to clear all statutory dues and comply with the requirements under the CGST Rules. 

Following its earlier decision in Dhirghat Hardware Stores, the Court held that where the taxpayer is prepared to furnish all pending returns and pay the applicable tax, interest, penalty and late fee, the authorities should consider restoration in terms of the proviso to Rule 22(4) of the CGST Rules, 2017.