GST Registration Cannot Be Refused Merely Because Assessee Belongs To Another State: Andhra Pradesh High Court

“Though the apprehension of the respondents may not be misplaced, it would not mean that registration can be refused on a ground, which is not available under the Statute or the Rules. There do not appear to be any restriction for persons outside the State to come into the State of Andhra Pradesh and seek registration under the APGST Act,” stated the Division Bench of Justices R Raghunandan Rao and Harinath N.

In this case, the assessee/petitioner sought registration under A.P. Goods and Services Tax Act, for its place of business situated in Rajamahendravaram which was denied by the Assistant Commissioner/1st respondent by an order.

The ground, given for such rejection, was that the assessee does not belong to Andhra Pradesh and the authorized representative, put forward by the assessee, does not belong to the State of Andhra Pradesh.

The assessee has challenged the order passed by the Assistant Commissioner before the Andhra Pradesh High Court.

The department submitted that the registration was refused on the ground that there would be any amount of scope for tax evasion, as none of the responsible persons are from the State of Andhra Pradesh.

The bench opined that mere apprehension, however well founded, cannot deprive the assessee of his right to carry on trade and business in the State of Andhra Pradesh. Article 19 of the Constitution of India, grants every citizen of this Country, the right to set up and do business anywhere in the country. In such circumstances, the order of rejection is clearly without any basis in law.

In view of the above, the bench allowed the petition.

Case Title: Tirumala Balaji Marbles And Granites v. The Assistant Commissioner St and Others

Case Number: WRIT PETITION NO: 1200/2025

Counsel for Petitioner/ Assessee: Anil Kumar Bezawada

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