The Himachal Pradesh High Court observed and has held that the rejection of an appeal for the restoration of GST registration for a delay of 1 day is hyper-technical.
The division bench comprising of Justice Tarlok Singh Chauhan and Justice Virender Singh observed and has allowed the claim of the petitioner, wherein stating that the view taken by the appellate authority is quite hyper-technical and academic and that the appeal is being rejected for a delay of one day is in gross violation of the principle of natural justice and that cancellation would prevent the fundamental right for doing of a business.
In the present case, the petitioner being a dealer who is registered under the GST and was served with a show cause notice dated July 14, 2020, for cancellation of the registration. Thus, the department or respondent cancelled the registration of GST on the ground that the petitioner had not filed up-to-date returns along with payment of tax.
The application for revocation of the registration of the GST has been rejected by the department and the court dismissed the appeal on the on account of its being barred by one day.
It has been noted by the court that the petitioner would not be able to continue with his business in the absence of GST registration and thus would be deprived of his livelihood, the same amounts to a violation of his right to life and liberty as enshrined under Article 21 of the Constitution of India.
Accordingly, the petition was allowed by the court and condoned the delay.
The Counsel, Advocate Goverdhan Lal Sharma and Advocate Rashmi Bhardwaj appeared for the petitioner.
The Counsel, Deputy Solicitor General of India Balram Sharma appeared for the respondent.