Gujarat High Court
Wadiwala Automobiles vs State Of Gujarat on 26 September, 2025
Author: Bhargav D. Karia
Bench: Bhargav D. Karia
NEUTRAL CITATION
C/SCA/7016/2025 JUDGMENT DATED: 26/09/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CIVIL APPLICATION NO. 7016 of 2025
FOR APPROVAL AND SIGNATURE:
HONOURABLE MR. JUSTICE BHARGAV D. KARIA
and
HONOURABLE MR. JUSTICE PRANAV TRIVEDI
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Approved for Reporting Yes No
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WADIWALA AUTOMOBILES
Versus
STATE OF GUJARAT & ORS.
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Appearance:
HIREN J TRIVEDI(8808) for the Petitioner(s) No. 1
MS SHRUNJAL SHAH, AGP for the Respondent(s) No. 1,2,3
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CORAM:HONOURABLE MR. JUSTICE BHARGAV D. KARIA
and
HONOURABLE MR. JUSTICE PRANAV TRIVEDI
Date : 26/09/2025
ORAL JUDGMENT
(PER : HONOURABLE MR. JUSTICE BHARGAV D. KARIA)
1. Heard learned advocate Mr. Hiren J.
Trivedi for the petitioner and learned
Assistant Government Pleader Ms. Shrunjal
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T. Shah for the respondent State.
2. Having regard to the controversy
involved in this petition, with the
consent of the learned advocates for the
respective parties, the matter is taken up
for hearing.
3. Rule returnable forthwith. Learned
Assistant Government Pleader Ms. Shrunjal
Shah waives service of notice of rule on
behalf of the respondent State.
4. By this petition under Article 226 of
the India, the petitioner has prayed to
quash and set aside the order passed by
the appellate authority dated 03.01.2025,
order dated 07.02.2024 cancelling the
registration certificate of the petitioner
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and the show cause notice dated 3.11.2023.
5. Brief facts of the case are that the
petitioner firm is engaged in retail
business of High-Speed Diesel Oil,
Petroleum Oils and other products.
5.1) The petitioner received the first
show cause notice dated 24.06.2019 under
Rule 22 of the GST Rules in Form GST REG-
17 on the ground that the petitioner had
not furnished returns of income for
continuous six months.
5.2) Thereafter, the respondent
authorities issued the order for
cancellation of registration dated
03.07.2019.
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5.3) The petitioner therefore, filed an
application for revocation of cancellation
of registration on 16.07.2019.
5.4) The respondent authorities passed
the order dated 16.08.2019 for revocation
of cancellation of registration of the
petitioner.
5.5) Thereafter, the respondent
authorities issued second show cause
notice dated 05.01.2022 under Rule 22 of
the GST Rules in Form GST REG-31 on the
ground that the petitioner had not
furnished return of income for continuous
six months.
5.6) Thereafter the respondent
authorities passed the order of
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cancellation of registration dated
10.02.2022 cancelling the registration of
the petitioner.
5.7) The petitioner thereafter for
restoration of GST registration, preferred
an application for condonation of delay in
preferring application for revocation of
cancellation of registration.
5.8) The petitioner was thereafter vide
show cause notice dated 17.05.2022 called
upon to explain the delay caused in filing
the application for revocation of
cancellation of the registration.
5.9) It is the case of the petitioner
that due to persistent medical impairment
of the deposing partner, the reply to such
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show cause notice could not be submitted
and therefore, the respondent authority
passed the order dated 14.06.2022
rejecting the application for condonation
of delay in filing the revocation
application of cancellation of
registration.
5.10) Being aggrieved, the petitioner
preferred an appeal in Form GST APL-01
dated 09.07.2022.
5.11) It is the case of the petitioner
that pursuant to appeal being preferred by
the petitioner, the First Appellate
Authority dropped the rejection of
revocation of cancellation proceedings and
restored the GST registration of the
petitioner vide order dated 17.03.2023.
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5.12) However, thereafter the petitioner
received fourth show cause notice under
Rule 22 of the GST Rules in Form GST REG-
31 on the ground of non furnishing the
return of income for continuous period of
one month.
5.13) It is the case of the petitioner
that the petitioner thereafter filed
returns till March, 2023 which was
accompanied with tax liability with
applicable interest and late fees and the
respondent authority therefore, passed the
order for dropping the proceedings for
cancellation of registration vide order
dated 20.05.2023.
5.14) It is the case of the petitioner
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that thereafter the petitioner received
yet another notice dated 25.08.2023 on the
ground of non furnishing of the returns
which proceedings were dropped vide order
dated 28.08.2023.
5.15) Thereafter the petitioner received
the impugned notice dated 3.11.2023 on the
ground of non furnishing of the return of
income under section 39 of the Act and
the respondent authority passed the
impugned order for cancellation of
registration dated 07.02.2024 on the
ground that the petitioner has failed to
furnish the returns as per section 29(2)
(c) of the GST Act for the prescribed
period.
5.16) It is the case of the petitioner
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that the petitioner vide GST Challan dated
09.04.2024 and 10.05.2024 paid admissible
tax interest and late fees.
5.17) It is the case of the petitioner
that due to health issues of the deposing
partner, the appeal against the impugned
order was filed with delay on 01.07.2004.
5.18) The petitioner also vide GST
Challan dated 03.09.2024 paid the
admissible tax, interest and late fees.
5.19) However, the First Appellate
Authority vide impugned order dated
03.01.2025 dismissed the appeal on the
ground of delay in filing the appeal.
5.20) Being aggrieved, the petitioner
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has preferred the present petition.
6. Learned advocate Mr. Hiren J. Trivedi
has filed an affidavit-in-rejoinder on
behalf of the petitioner wherein it is
averred that the petitioner is ready and
willing to share all necessary details as
may be sought for by the respondents and
the petitioner firm undertakes to pay all
the dues along with interest and late fees
which would be determined in accordance
with law by the respondents. It was also
pointed out that the petitioner firm
undertakes that henceforth the petitioner
firm would comply with the provisions of
law to file returns regularly and any
infraction would lead to cancellation of
GST registration.
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7. Learned advocate Mr. Trivedi submitted
that though the petitioner is a regular
defaulter in filing the return, last
opportunity may be given to the petitioner
to mend it by payment of outstanding tax
liability along with interest and late
fees.
8. Learned advocate Mr. Trivedi also
invited the attention of the Court on the
following averments made in the memo of
the petition:
"(13) It is further stated that with
the intent for the discharging the
applicable liability and revocation of
the GSTIN; the petitioner paid the
admissible tax, Interest and Late-Fees
through two Challans dated 09.04.2024
and 10.05.2024.
Annexed hereto and marked "Annexure-U"
is the copy of the challan dated
09.04.2024 and 10.05.2024. The details
of the tax, interest and late-fees
paid vide challans is tabulated as
under:
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DATE TAX INTEREST LATE-FEES
09-04-2024 4,00,000.00
10-05-2024 79,860.00 45,200.00 66,000.00
Total 4,79,860.00 45,200.00 66,000.00
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15. It is further stated, immediately
after filing the appeal, the
petitioner to establish its Bonafide,
the petitioner paid the remaining
amount of tax liability on 03.09.2024;
with the intent that the to furnish
the return and with the hope to seek
the fair justice from the First
Appellate Authority. Annexed hereto
and marked "Annexure-W" is the copy of
the challan dated 03.09.2024. The
details of tax, interest and late fees
paid vide challan dated 03.09.2024 is
tabulated as under:
DATE TAX INTEREST LATE-FEES
03-09-2024 1,51,104.00 37,000.00 28,000.00
9. It was therefore, submitted that the
petitioner may be given a last opportunity
to regularise his affairs by filing the
pending returns under the provisions of
the GST Act.
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10. Learned Assistant Government Pleader
Ms. Shrunjal Shah on the other hand
submitted that if the petitioner is
permitted to file the GST return as
required under the provisions of the GST
Act, the respondent authorities shall
process the same and determine the tax
liability in accordance with the
provisions of the GST Act after
considering the deposits made by the
petitioner as stated here-in-above.
11. Learned advocate Mr. Trivedi for the
petitioner submitted that if permitted,
the petitioner shall be able to file the
pending GST returns manually from June
2023 till date within a period of eight
weeks from today.
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12. Considering the above submissions, it
appears that there is no other contentions
raised on behalf of the petitioner as well
as the respondents and in view of the fact
that the petitioner has deposited
substantial amount of outstanding tax with
interest and late fees, as if returns
would have been filed, in the interest of
justice, the petitioner is permitted to
file the pending returns within a period
of eight weeks from today. The petitioner
shall also file an undertaking before this
Court that the petitioner shall abide by
the provisions of the GST Act and the GST
Rules and shall be regular in filing the
returns in future, failing which, the
registration of the petitioner shall be
cancelled automatically.
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13. The respondents are therefore,
directed to consider the pending returns
filed by the petitioner by suspending the
order of cancellation of registration and
if the same are found in accordance with
law, call upon the petitioner to pay the
outstanding dues, if any, forthwith. If
the petitioner pays such outstanding dues
as may be directed by the respondents, the
order of cancellation shall stand revoked.
14. Petition is accordingly disposed of.
Rule is made absolute to the aforesaid
extent. No order as to costs.
(BHARGAV D. KARIA, J)
(PRANAV TRIVEDI,J)
RAGHUNATH R NAIR
