Section 29 of the CGST Act, 2017 –—Cancellation of GST Registration -- The petitioner challenged the order dated 08.04.2022, whereby the GST registration of the petitioner was cancelled. The counsel for the petitioner submitted that the petitioner filed Appeal which is still pending, but the same has filed beyond the limitation period prescribed. The court observed that the purpose of limitation being prescribed in a statute is two fold, namely, to ensure compliance of the statutory provisions by the persons on whom the provisions of the statute are applicable and further to ensure that no third party rights which may have been created in the meantime are permitted to be nonsuited/ unsettled. The non-revocation of cancellation of registration is likely to prejudice the assessee alone. It cannot be said that any third party rights are created against the assessee. No prejudice is caused to any other person, if the GST registration of the petitioner/assessee is revoked. No prejudice is caused to the revenue. An appeal is already preferred and is pending before the Appellate Authority.

Held that:- The Hon’ble High Court directed that the pending appeal be disposed of by the Appellate Authority on merits rather than dismissing or rejecting the same on the ground of limitation Further, directed that the respondent No. 5, will intimate the petitioner the total outstanding statutory dues standing in the name of the petitioner till the date on which his GST registration was cancelled. Upon such intimation, if any such outstanding statutory dues are required to be paid, the same shall be deposited by the petitioner without fail. The Appellate Authority will proceed to hear the appeal preferred on merit.