Section 29 of the CGST Act, 2017 — Cancellation of Registration – The petitioner challenged the order dated 14.3.2022 of cancellation of registration. The Petitioner contended that since he had undergone angioplasty, and the firm suffered financial set back in pandemic situation, GST returns from August 2021 could not be filed. The respondent rejected the application for revocation of cancellation and his appeal was rejected on the ground of limitation. The court observed that the provisions of GST enactment cannot be interpreted so as to deny right to carry on Trade and Commerce to any citizen and subjects. The constitutional guarantee is unconditional and unequivocal and must be enforced regardless of shortcomings in the scheme of GST enactment. The right to carry on trade or profession cannot be curtailed contrary to the constitutional guarantee under Art. 19(1)(g) and Article 21 of the Constitution of India. Since it is merely a matter of cancellation of registration, the question of limitation should not bother since it cannot be said that any right has accrued to the State which would rather be adversely affected by cancellation. The court relied the case of Mafatlal Industries Ltd. Vs Union of India reported in (1997) 5 SCC 536. The petitioner who is small scale entrepreneur cannot carry on production activities in absence of GST registration. Resultantly, his right to livelihood would be affected.

Held that:- The Hon’ble High Court set aside the order dated 14-03-2022 and directed that the registration of the petitioner is valid, from 28-02-2022 onwards subject to the condition that the petitioner files up to date GST returns and deposits entire pending dues along with applicable interest, penalty, late fees in terms.