Sidaarth Garments vs The Commercial Tax Officer
2025 Latest Caselaw 1696 Mad

Citation : 2025 Latest Caselaw 1696 Mad
Judgement Date : 9 January, 2025

Madras High Court

Sidaarth Garments vs The Commercial Tax Officer on 9 January, 2025

Author: Mohammed Shaffiq

Bench: Mohammed Shaffiq

                                                                                   W.P.No.519 of 2025

                         IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                             DATED : 09.01.2025

                                                   CORAM

                           THE HONOURABLE MR.JUSTICE MOHAMMED SHAFFIQ

                                           W.P.No.519 of 2025
                                                   and
                                       W.M.P.Nos.612 and 613 of 2025

               Sidaarth Garments,
               Partnership Firm,
               Rep. by Duraisamy,
               11/65A, Amman Nagar,
               Thangasalai Street,
               Punjai Puliyampatti,
               Erode.                                                         ..Petitioner
                                                      Vs.
               The Commercial Tax Officer,
               Sathyamangalam,
               No.1, Gobaldu Lane,
               Rangasamudram,
               Sathyamangalam,
               Erode 638 402.                                                ..Respondent


               PRAYER: Writ Petition filed under Article 226 of the Constitution of India,

               praying to issue Writ of Certiorarified Mandamus to call for the records pertaining

               to the impugned order dated 22.11.2024 vide Reference No.ZA331124111601D

               passed by the respondent and quash the same as arbitrary, against the principles of



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                                                                                         W.P.No.519 of 2025

               natural justice and total inconformity with the provisions of the GST Act, 2017

               and consequently direct the respondent to restore the petitioner's GST Registration

               No.33ACRFS5526J1ZO granted under the TNGST / CGST Act, 2017.


                                  For Petitioner     : M/s.R.Reshma

                                  For Respondent     : Ms.Amrita Dinakaran,
                                                       Government Advocate.

                                                         ORDER

The present writ petition is filed challenging the order of the cancellation of

the registration of the petitioner on the premise that the statutory returns has not

been filed for a continuous period of six months.

2. At the outset, it is submitted by both the learned counsel for the petitioner

as well as the learned Government Advocate for the respondent that the issue

stands covered by a series of judgments, commencing with the decision in

Tvl.Suguna Cutpiece Center Vs. Appellate Deputy Commissioner (ST) (GST) and

others, wherein, under identical circumstances, this Court has directed the

revocation of registration subject to conditions.

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3. This Court has been consistently following the directions issued in

Tvl.Suguna Cutpiece Center's case. Relevant portion of the order is extracted

hereunder:

“229. In the light of the above discussion, these Writ Petitions are allowed subject to the following conditions:

i. The petitioners are directed to file their returns for the period prior to the cancellation of registration, if such returns have not been already filed, together with tax defaulted which has not been paid prior to cancellation along with interest for such belated payment of tax and fine and fee fixed for belated filing of returns for the defaulted period under the provisions of the Act, within a period of forty five (45) days from the date of receipt of a copy of this order, if it has not been already paid.

ii. It is made clear that such payment of Tax, Interest, fine / fee and etc. shall not be allowed to be made or adjusted from and out of any Input Tax Credit which may be lying unutilized or unclaimed in the hands of these petitioners. iii. If any Input Tax Credit has remained utilized, it shall not be utilised until it is scrutinized and approved by an appropriate or a competent officer of the Department. iv. Only such approved Input Tax Credit shall be allowed for being utilized thereafter for discharging future tax liability

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under the Act and Rule.

v. The petitioners shall also pay GST and file the returns for the period subsequent to the cancellation of the registration by declaring the correct value of supplies and payment of GST shall also be in cash.

vi. If any Input Tax Credit was earned, it shall be allowed to be utilised only after scrutinising and approving by the respondents or any other competent authority. vii.The respondents may also impose such restrictions / limitation on petitioners as may be warranted to ensure that there is no undue passing of Input Tax Credit pending such exercise and to ensure that there is no violation or an attempt to do bill trading by taking advantage of this order. viii.On payment of tax, penalty and uploading of returns, the registration shall stand revived forthwith. viii. On payment of tax, penalty and uploading of returns, the registration shall stand revived forthwith. ix. The respondents shall take suitable steps by instructing GST Network, New Delhi to make suitable changes in the architecture of the GST Web portal to allow these petitioners to file their returns and to pay the tax/penalty/fine. x. The above exercise shall be carried out by the respondents within a period of thirty (30) days from the date of receipt of a copy of this order.