M/s. Synergy Foods and Beverages vs. The Deputy State Tax Officer

Court: Telangana High Court
Bench: Hon’ble Chief Justice Sri Aparesh Kumar Singh & Hon’ble Justice G.M. Mohiuddin
Date of Order: 08 October 2025
Writ Petition No.: 30371 of 2025
Source: Indian Kanoon

⚖️ Facts of the Case

The GST department cancelled the GST registration of M/s. Synergy Foods and Beverages because the company failed to file GST returns for several periods.

• The cancellation was done under Section 29(2)(c) of the Telangana GST Act, 2017.

• The order was issued in Form GST REG-19 on 13.09.2024, effective from 31.12.2023.

• Instead of applying for revocation of cancellation (which is the correct remedy), the taxpayer filed an appeal late, and it was rejected for being time-barred.

• The petitioner then approached the High Court seeking relief.

❓ Issues Before the Court

1. Whether the taxpayer can still apply for revocation of cancellation of GST registration after missing the prescribed time limit?

2. Whether the appeal filed late (instead of revocation) can be treated as valid?

3. Can the High Court allow the taxpayer to revive the cancelled GST registration?

📚 Court’s Decision (in Simple Words)

The High Court did not directly restore the GST registration but gave permission (liberty) to the taxpayer to apply again for revocation before the proper GST authority.

➡️ The Court said:

Since the taxpayer is willing to apply properly under Rule 23(1), they are allowed to file a revocation application within two weeks from the date of the order (i.e., by around 22 October 2025).

The concerned authority must consider it in accordance with law, provided the taxpayer clears any outstanding tax dues.

🧑‍⚖️ Court’s direction:

“Liberty is granted to the petitioner to approach the competent authority in terms of Rule 23(1) for revocation of cancellation of registration within two weeks.”

Thus, the petition was disposed of with no costs.

🧩 Layman Analysis – What This Means for You

🧠 1. What This Case Is About

This case teaches that if your GST registration is cancelled for not filing returns, you must not file an appeal immediately — instead, you should apply for “revocation of cancellation” under Rule 23 of the GST Rules.

If you miss the time limit, the appeal will not help. But, if you approach the High Court showing genuine reasons (like illness), the court may allow you one last chance.

🛠️ 2. Remedies Available If You Face Similar Situation

If your GST registration is cancelled:

1. Apply for revocation (reopening your GSTIN) under Rule 23(1) within 30 days (or extended period as per CBIC circulars).

2. If delay occurred due to valid reasons (e.g., medical issues, COVID, system error), attach supporting proof like medical certificates or affidavits.

3. Pay all pending dues before filing the application.

4. If the department rejects or does not allow late filing, you can approach the High Court citing this judgment for relief.

⚖️ 3. How You Can Use This Case Law

If your registration is cancelled and your revocation period expired, you can refer to this case and say:

“In the case of M/s. Synergy Foods and Beverages vs. Deputy State Tax Officer (Telangana High Court, 08.10.2025), the Hon’ble Court allowed the taxpayer to file for revocation even after delay. Hence, my case may be considered similarly.”

You can mention Rule 23(1) & (2) of GST Rules, 2017 and Section 29(2)(c) of the GST Act.

✅ This case helps you argue for condonation of delay and revival of GST registration through proper procedure.

🔒 4. Future Care to Avoid Such Problems

• Always file your GST returns on time (even if nil).

• If cancelled, apply for revocation — don’t file appeal directly.

• Maintain record of communications and reasons for delay (medical, financial, or technical).

• Stay aware of Rule 23 timelines — within 30 days (extendable in certain cases).

• Pay any pending tax dues before filing revocation to show bona fide intent.

🗺️ 5. Applicability

• This judgment was given by the Telangana High Court, but the issue concerns the Central GST Rules, so the reasoning is applicable throughout India (since Rule 23 and Section 29 are uniform under CGST).

• Therefore, taxpayers in any state can cite this case to request leniency or permission for revocation after delay.

✅ Applicability: All States & Union Territories of India (as the Rule 23 provisions are same under CGST).

⚖️ 6. Decision Summary (Who Won?)

Party	Decision
Petitioner (M/s Synergy Foods & Beverages)	✅ Partially Allowed — Given chance to apply for revocation.
Department (State Tax Officer)	❌ Order of cancellation not set aside, but directed to consider new application.

🟢 Final Order (Highlight):

“Liberty is granted to the petitioner to approach the competent authority in terms of Rule 23(1) for revocation of cancellation of registration within two weeks.”