GST Authorities empowered to Drop Cancellation Proceedings on Intimation of Compliance of Payment...

The Gauhati High Court has ruled that GST authorities are "empowered to drop cancellation proceedings" if a taxpayer "intimate their compliance" by paying all pending dues. This decision provides a crucial lifeline for businesses facing the cancellation of their GST registration due to non-filing of returns. The court held that since cancellation has severe consequences, authorities have the discretion to restore registration if the taxpayer subsequently files all returns and clears all tax, interest, and late fees, reinforcing that compliance can supersede procedural delays.