Section 29 of the CGST Act, 2017 —– Cancellation of Registration - The petitioner sought to quash the order dated 31.01.2022 passed by the Appellate Authority and order dated 18.03.2021 passed under section 29(2) of the Act. The advocate for the petitioner submitted that the petitioner has paid the amount of taxes and penalty and has also undertaken that whatever may be assessed by the authority, he shall be ready to also pay the same. The court observed that the order for cancellation of registration dated 22.06.2020 is quite cryptic. It hardly gives any detail, which is otherwise necessary. The petitioner has already filed the returns and late fee totalling to Rs.2.94 lakhs has been deposited. He relied upon the case of Tahura Enterprise vs. Union of India.  The court observed that the petitioner appears to continue his business and the State’s obligation is to ensure the implementation of the law, but at the same time not to thwart, in any manner, the business prospects of the citizens.

Held that:- The Hon’ble High Court set aside the orders and directed the respondent to forthwith restore the registration of the petitioner. He shall also file his GSTR-1 within 15 days of the restoration. The authority, thereafter, in six weeks’ period, shall complete the assessment part. The petitioner shall cooperate in the process.