# M/s UP Pipe Fitting Supplier, Chippitola, Agra U.P v. G.S.T. Network & Ors

- **Citation:** (2022) 5 ILRA 344
- **Court:** High Court of Judicature at Allahabad
- **Decided:** 2022-04-26
- **Case number:** Writ Tax No. 420 of 2022
- **Bench:** Surya Prakash Kesarwani, Jayant Banerji
- **Source:** https://unisonlegal.in/judgment/allahabad-high-court/m-s-up-pipe-fitting-supplier-chippitola-agra-u-p-v-g-s-t-network-ors-48528
- **Pages:** 6

## Headnote

A.S.G.I., Sri Gaurav Mahajan, Sri Gopal
Verma

A. Practice & Procedure - The Court asked
the GST authorities to be sensitive with respect
to the genuine problems of the dealers and
directed to circulate the Registration Advisory
for "Restoration of Cancelled Registration". (Para
11)
Writ Disposed of. (E-10)

## Text

344 INDIAN LAW REPORTS ALLAHABAD SERIES
enhanced by the Government of India by
means of order dated 14/10/1999 but no
order/notification
was
issued
by
the
Commercial
Tax
Department
or
the
Agricultural Department enhancing the rate
of the Nitrogen component in DAP. The first
appellate court as well as Commercial Tax
Tribunal have both while disallowing the
claim of the revisionist have held that at the
moment the rate of DAP were enhanced by
the Central Government vide its order dated
29.1.1999, the revisionist started collecting
the enhanced rate.

15. It is also noticed that the
controversy in the present case pertains only
to enhanced rate of nitrogen component in
DAP as distinguished from enhanced rate of
tax on Nitrogen component which remained
at 6.5 percent. It is not a case where there was
any change in the rate of tax but only rate of
nitrogen for the purpose of levying Trade Tax
was enhanced by the Agriculture Department.
Admittedly, the revisionist had collected the
enhanced rate of DAP and consequently is
liable to pay Tax on the enhanced rates which
was so collected by him. The entire argument
of the revisionist stating that the rate of tax
would not have retrospective effect and relied
upon the judgment of this Court in the case of
M/S Ganesh International and Another vs
Assistant Commissioner and others, 2001
(18) NTN DX 43. The said judgment would
not be applicable to the facts of the present
case as in the present case there was no
change or enhancement in the rate of tax but
only change in value of taxable goods.

16. No material has been placed by the
revisionist before this Court to upset the
concurrent finding of facts recorded by both the
authorities below that the revisionist had
collected the enhanced rate of DAP from the date
of notification issued by Government of India. It
is also noticed that vide its order dated 26.2.2000
the Commissioner, Trade Tax had circulated the
letter of Government of India dated 14.10.1999
which fact was already within the knowledge of
the revisionist, who is a dealer of DAP and the
contention of the revisionist in this regard has not
been accepted by the first appellate court as well
as Commercial Tax Tribunal.

17. The revisionist having realized
enhanced rate of DAP from 1999 when the rate
was enhanced by the Government of India, he
would be liable to pay Trade Tax at the enhanced
rate of Nitrogen content in DAP. This finding
recorded by the Tribunal has not been assailed by
the revisionist. In case, the revisionist is allowed
to pay Trade Tax the earlier rate of nitrogen
component in DAP, it would amount to unjust
enrichment and, therefore, even in this view of
the matter the revision fails.

18. This Court in consideration of the
aforesaid facts is of the considered opinion that
no interference is required with the judgment of
the Commercial Tax Tribunal that enhanced
rate of nitrogen would be effective from 1999
itself rather than 26.2.2000. The question is
answered in favour of the revenue as against the
revisionist. Consequently, the revision is
dismissed.
----------
(2022)05ILR A344
ORIGINAL JURISDICTION
CIVIL SIDE
DATED: ALLAHABAD 26.04.2022

BEFORE

THE HON'BLE SURYA PRAKASH
KESARWANI, J.
THE HON'BLE JAYANT BANERJI, J.

Writ Tax No. 420 of 2022

M/s UP Pipe Fitting Supplier, Chippitola,
Agra U.P. ...Petitioner
Versus
G.S.T. Network & Ors. ...Respondents
5 All. M/s UP Pipe Fitting Supplier, Chippitola, Agra U.P. Vs. G.S.T. Network & Ors.
345
Counsel for the Petitioner:
Sri Rahul Agarwal

Counsel for the Respondents:
A.S.G.I., Sri Gaurav Mahajan, Sri Gopal
Verma

A. Practice & Procedure - The Court asked
the GST authorities to be sensitive with respect
to the genuine problems of the dealers and
directed to circulate the Registration Advisory
for "Restoration of Cancelled Registration". (Para
11)
Writ Disposed of. (E-10)

(Delivered by Hon'ble Surya Prakash
Kesarwani, J.
&
Hon'ble Jayant Banerji, J.)

1. Heard Sri Rahul Agarwal, learned
counsel for the petitioner and Sri Sashi
Prakash
Singh,
learned
Additional
Solicitor General assisted by Sri Gopal
Verma and Sri Gaurav Mahajan, learned
counsel for the respondents.

2. This writ petition has been filed
praying for the following reliefs :-

(i) Issue a writ, order or
direction in the nature of Mandamus
directing the respondents to act in
accordance
with
the
order
dated
22.10.2021 (Annexure-5 to the writ
petition) revoking the cancellation of the
GST registration of the petitioner and
restore the GST registration of the
petitioner on the GST portal.

(ii) issue a writ, order or
direction in the nature of Mandamus
directing the respondents not to levy any
late fees/penalty for late filing of returns
by the petitioner for the months of August
2021 to March 2022.

3. Supplementary counter affidavit
filed on behalf of respondent nos. 2, 3 & 4
is taken on record.

4. On 12.04.2022, this Court passed
the following order :-

"1. Heard Sri Rahul Agarwal,
learned counsel for the petitioner and Sri
Gaurav Mahajan, learned Senior Standing
Counsel for the Income Tax Department.

2. On the request of learned
counsel for the petitioner, Goods and
Service Tax Council, New Delhi through its
Member Secretary is allowed to be
impleaded as respondent no.5.

3. Notice on behalf of the
respondent no.1 was accepted by learned
Additional Solicitor General of General of
India.

4. Notice on behalf of the newly
impleaded respondent no.5 has been
accepted by Sri Gopal Verma, learned
Senior Standing Counsel for the Central
Government who shall communicate this
order to learned Additional Solicitor
General of General of India.

5. On 28.03.2022 this Court
passed the following order:-

"Heard
Sri
Rahul
Agarwal,
learned counsel for the petitioner and Sri
Gaurav Mahajan, learned counsel for the
respondent nos. 2,3, and 4. None appears
for the respondent no.1.

The only issue involved in the
present writ petition is restoration of the
GST registration of the petitioner on portal.
Prima facie, it appears that the respondents
are acting arbitrarily and in defiance of
their statutory duties.

Learned
counsel
for
the
respondent nos. 2,3, and 4 states that the
server is at Chennai under the control of
the respondent no.1 and despite writing
letters, nothing has been done so far by the
346 INDIAN LAW REPORTS ALLAHABAD SERIES
respondent no.1. The submission so made
also prima facie, reflects dereliction in
duties by the respondents and harassment
of the petitioner by them.

Let a counter affidavit be filed by
the respondent nos.1,2,3 and 4 within two
weeks', failing which this Court may
consider to impose cost, inasmuch as, due
to the alleged non restoration of the GST
registration on portal, the petitioner is
neither able to carry on his business nor
able to make statutory compliances.

Put up as a fresh case before the
appropriate bench on 12.04.202"

6. In compliance to the aforesaid
order, the respondent nos. 2,3 and 4 filed today
counter affidavit dated 11.04.2022 and in
paragraph nos. 2, 8 and 9 they have stated as
under:-

(2) That the deponent at the very
outset craves leave of the Hon'ble Court to
bring on record certain important facts,
background and material which are already
part of record and also flow from the statute
book and which will have a material bearing
on the outcome of the writ petition. The said
facts are as follows:-

(a) The petitioner was a partnership
firm consisting of 2 partners namely Satendra
Kumar Jain and Narendra Kumar Jain.

(b) On 24.03.2021 Narendra Kumar
Jain expired/passed away and the Partnership
came to an end and as such the remaining
partner submitted an online request through
portal for cancellation of their registration
vide
ARNAA090721101216N
dated
22.07.2021 The request for cancellation of
their
GSTIN
09AAAFU3379A1ZA
was
approved by the competent authority through
the
portal
vide
Reference
No.
ZA090721586918R dated 23.07.2021. Thus
the registration of the petitioner stood
cancelled.

(c) On 29.07.2021 a new Deed of
Partnership was made/executed between 2
partners namely Satendra Kumar Jain and
Siddesh Jain.

(d) Subsequently the new partners
filed an appeal before the Commissioner
(Appeals) for restoration of its cancelled
registration. The appeal was allowed vide
order dated 22.10.2021.

(e) Thereafter the petitioner filed
an application before the Respondent no.4
along with certified copy of the order dated
22.10.2021 passed by the Commissioner
(Appeals) for revocation of its cancelled
GST registration/restoration of its GST
registration.

(f) Just as the process for
cancellation of Registration is through
online mode, same is the process of
revocation of cancellation of registration is
also fully online through portal. In this
process, the applicant files revocation
online and the same is disposed off online
accordingly.

Therefore there is no option to
initiate
the
revocation
of
cancelled
registration by the Respondent Nos. 2,3 and
4. In terms of advisory dated 16.06.2021 on
the subject "Difficulty in restoration of
cancelled registration-Advisory" issued by
the DG (Systems), Chennai, the request of
the
petitioner
dated
28.10.2021
was
forwarded to DG (Systems) Chennai along
with duly filled prescribed format singed by
the Commissioner, Central Goods and
Service Tax and Central Excise, Agra for
the needful at their end through email dated
23.11.2021. A photo copy of the email
dated 23.11.2021 is enclosed herewith and
marked as Annexure No. CA-1).

(8) That in reply to the contents of
paragraph nos. 12 of the writ petition in the
manner as stated therein it is respectfully
submitted that acting upon petitioner's letter
dated 08.12.2021 for revocation of their
cancellation of registration. The request was
again forwarded to the D.G. (Systems),
5 All. M/s UP Pipe Fitting Supplier, Chippitola, Agra U.P. Vs. G.S.T. Network & Ors.
347
Chennai through email dated 07.01.2022 in
continuation of email dated 23.11.2021. A
photo copy of the email dated 07.01.2022 is
enclosed herewith and marked as Annexure
No. CA-2.

(9) That in reply to the contents of
paragraph no.13 of the writ petition in the
manner as stated therein it is respectfully
submitted that acting upon petitioner's letter
dated 21.01.2022, this request has also been
forwarded vide email dated 28.01.2022 to the
DG (Systems), Chennai in continuation of
email dated 23.11.2021 and 07.01.2022. A
photocopy of the email dated 28.01.2022 is
enclosed herewith and marked as Annexure
No. CA-3.

7. From the afore-quoted averments
made in the counter affidavit by the respondent
nos. 2,3 and 4, it is evident that there is total
lack of coordination between the authorities
and for that reason the Director General
(Systems), Chennai is not taking any action
and is not giving effect to the order of the
appellate authority dated 22.10.2021, despite
letters written by the authority as referred in
the afore-quoted paragraphs. The policy of the
Government is "ease of doing business" but
the policy is not properly being executed by
own officer of the Government and thus,
people are being obstructed to carry on
business which is in breach of fundamental
rights guaranteed under Article 19(1) of the
Constitution of India.

8. Respondent nos. 1 and 5 may
file short counter affidavit within a week,
by means of their personal affidavit clearly
giving response on the prevailing situation
and shall also come out an appropriate
circular
and
guidelines
as
well
as
appropriate action in the matter so that
such thing may not be repeated and the
dealers may not be harassed.

9. Put up as a fresh case before
the appropriate bench on 21.04.2022 at
10.00 A.M. for further hearing."

5. Today, a short counter affidavit on
behalf of respondent nos. 1 & 5 has been
filed by Sri Lalan Kumar, Commissioner
CGST and CX Agra.

6. In the aforesaid short counter
affidavit it has been states as under :-

"10. That the deponent most
respectfully
submits
that
during
the
pendency of the present Writ Petition the
registration of the petitioner has been
restored on 19.04.2022 and restoration of
the registration was also communicated to
the petitioner by GSTN Legal, New Delhi
through email dated 20.04.2022 containing
1 attachment. A photocopy of the email
dated 20.04.2022 and its attachment are
enclosed
herewith
and
marked
as
Annexure No.SCA-4.

11. That at this juncture it is
necessary to place on record a Registration
Advisory No. 07 of 2022 dated 23.03.2022
the subject of which is ''Introduction of
Restoration
of
Cancelled
Registration
based on Appellate Order - Reg' issued by
the Pr. Additional Director General of
Systems and Data Management, Chennai.
The Registration Advisory was issued on
the
basis
of
inputs/communications
received from field formations. A photocopy
of the Registration Advisory No. 07 of 2022
dated 23.03.2022 is enclosed herewith and
marked as Annexure No. SCA-5.

12. That the deponent most
respectfully submits that the Registration
Advisony No. 7 of 2022 dated 23.03.2022
has put in place a suitable mechanism in
the form of a functionality in the name of
"Restoration of Cancelled Registration"
and has been developed and deployed w.e.f.
23.03.2022 to facilitate the jurisdictional
Range Officers to restore the registration in
pursuance of judicial/appellate orders and
necessary permission to operate this
348 INDIAN LAW REPORTS ALLAHABAD SERIES
functionality has been enabled for the
jurisdictional Range Officers."

7. Annexure SCA - 4 reflects the
effective date of registration as 01.07.2017.
Thus, the relief no. (i) as sought by the
petitioner stands granted and the grievance
of the petitioner in this regard now stands
redressed.

8. So far as the relief No.(ii) is
concerned, we hope that in view of the
restoration
of
registration
with
retrospective effect on 20.04.2022, the
authorities shall see that petitioner may not
face any hurdle in filing his returns for the
months of August 2021 to March 2022.

9. From the records, it appears that as
per own case of the respondents a
temporary mechanism to restore cancelled
registration was created in the back end and
an advisory vide e-mail dated 16.06.2021
was issued in this regard to restore
registrations cancelled on the request of the
dealers or pursuant to the orders passed by
appellate authorities/High Court, but a
permanent
mechanism
could
not
be
developed until the aforesaid advisory
dated
23.03.2022
(Annexure
No.SCA
No.5).

10. But now it developed and
deployed a functionality in the name of
"Restoration of Cancelled Registration"
with effect from 23.03.2022 to facilitate the
jurisdictional Range Officers to restore the
registration
in
pursuance
of
judicial/appellate orders. The aforesaid
Registration Advisory No.07/2022, dated
23.03.2022 is reproduced below :

 "Date: 23.03.2022

Registration Advisory No.
07/2022

Sub: Introduction of Restoration of
Cancelled Registration based on Appellate
order - reg.

***

Communications
have
been
received from field formations about
passing judicial / appeal orders against
cancellation orders, passed suo motu by the
Range officers u/s 29 of the CGST Act,
2017. It has also come to notice that
taxpayers in certain cases, had obtained
orders from High Courts / appellate
authorities
to
restore
registrations
cancelled on their own request. Since the
functionality to implement the orders online
was not ready, a temporary mechanism to
restore cancelled registrations was created
in the back-end and an advisory vide e-mail
dated 16th June '2021 (copy enclosed), was
issued in this regard.

2. Now, a functionality in the
name
of
''Restoration
of
Cancelled
Registration' has been developed and
deployed w.e.f. 23.03.2022, to facilitate the
jurisdictional Range officers to restore the
registrations in pursuance of judicial /
appellate orders.

3. This functionality would cover
both the cancellations viz.. ordered suo
motu by Range officers against which
appeal orders were obtained without
applying for revocation through form
REG-21, and cancelled on the request
from the taxpayers. A step by step guide
along with indicative screens is annexed
herewith (Annexure ''A') for guidance of
the officers using the functionality.

4.
Necessary
permission
to
operate this functionality is being enabled
for the Jurisdictional Range Officers.

5.
As
per
the
contractual
obligations, the vendor (Wipro) is required
to rectify the defects/ errors/ bugs noticed,
if any, in the functionality within 30 days of
its deployment to production. It is,
5 All. M/s Zasha Electrowaste Recycling Pvt. Ltd. Meerut U.P. Vs. U.O.I. & Ors.
349
therefore, requested that this advisory may
be circulated among all the concerned
officers for their guidance, and issues, if
any, in performance of the functionality
may
immediately
be
reported
to
cbicmitra.helpdesk@icegate.gov.in
for
necessary
resolution.
Copy
of
the
communication with ticket details may also
be
forwarded
to
this
office
at
dgschennai@icegate.gov.in
for
further
follow up.

 (K.V.S. Singh)
 Pr. Additional Director General"

11. We hope and trust that the GST
Council and authorities under the Central
Goods and Service Tax Act/States Goods
and Service Tax Act 2017 shall be sensitive
enough to address genuine problems of the
dealers including the problems being faced
in giving effect to the orders of appellate
authority, Tribunal and courts. We also
direct that the aforesaid Registration
Advisory No.07/2022, dated 23.3.2022
shall be circulated forthwith by the GST
Council amongst officers under the Act,
2017 as well as amongst association of
traders and industries and amongst Tax Bar
Associations at the district level in the state
of Uttar Pradesh.

12. With the aforesaid observations,
the writ petition is disposed of .
----------
(2022)05ILR A349
ORIGINAL JURISDICTION
CIVIL SIDE
DATED: ALLAHABAD 25.05.2022

BEFORE

THE HON'BLE SURYA PRAKASH
KESARWANI, J.
THE HON'BLE JAYANT BANERJI, J.

Writ Tax No. 626 of 2022
M/s Zasha Electrowaste Recycling Pvt.
Ltd. Meerut U.P. ...Petitioner
Versus
U.O.I. & Ors. ...Respondents

Counsel for the Petitioner:
Sri Nishant Mishra, Sri Yashonidhi Shukla

Counsel for the Respondents:
A.S.G.I., Sri Dileep Chandra Mathur

A. Civil Law - Practice & Procedure -
Affidavit - Allahabad High Court Rules -
Rule 12 of Chapter IV - Civil Procedure
Code, 1908 - Order XIX Rule 9 - An affidavit
which does not comply with the provisions of
the Allahabad High Court Rules/CPC, has no
probative value and is liable to be rejected.
(Para 8) (E-10)
List of Cases cited:

1. Bharat Singh & ors. Vs St. of Har. AIR 1988
SC 2181

2. St. of Bombay Vs Purushottam Jog Naik AIR
1952 SC 317

3. Smt. Savithramma Vs Cicil Naronha & anr.
AIR 1988 SC 1987 (Para 2)
(Delivered by Hon'ble Surya Prakash
Kesarwani, J.
&
Hon'ble Jayant Banerji, J.)

1. Heard learned counsel for the
petitioner and the learned standing counsel.

2.

Personal
affidavit
dated
25.02.2022 of Sri Pradyumn Tripathi,
Additional
Director
General,
DGGI,
Meerut Zonal Unit, Meerut has been filed
today, which contains 12 paragraphs and all
the 12 paragraphs have been sworn as
under :

"I, the deponent above named, do
hereby
swear
that
the
contents
of