Revocation of Cancelled GST Registration

GST Registration cancelled suo moto?

Why it happens

GST registration may be cancelled suo moto by the department due to:

• Non-filing of returns

• Non-payment of tax

• Wrongful input tax credit (ITC) claims

• Other compliance defaults

Remedies available under law – step by step

1. Apply for revocation under Rule 23

• File Form GST REG‑21 on the GST portal

Time limits:

• Original: within 30 days from the date of the cancellation order

• Extension: additional 30 days by the Additional/Joint Commissioner

• Further extension: additional 30 days by the Commissioner

• Total maximum period: up to 90 days

• Before applying, file all pending GST returns and pay tax, interest and late fees

2. If revocation application is rejected

• The officer will issue a notice in Form GST REG‑23 within 30 days of receiving application for revocation.

• You must reply in Form GST REG‑24 within 7 working days

• If the officer maintains the rejection, you can file an appeal

3. File appeal under Section 107

• File Form GST APL‑01(In GST Portal) within 3 months from the date of the cancellation order (extendable by 30 days if justified)

• Pay full admitted amount of tax, interest, fine, fee or penalty

• Plus 10% of the disputed tax amount as pre-deposit

4. If both revocation and appeal time limits have expired

• The law permits a maximum of 90 days (revocation including extensions) and 3 months + 30 days (appeal including condonation)

• Beyond this, the law does not allow further condonation

5. File Final Return – GSTR‑10

• Filing GSTR‑10 remains mandatory even if the time limits for revocation and appeal have expired

• Purpose: to formally close the cancelled GSTIN and avoid further notices and late fee

• Late fee: ₹200 per day (₹100 CGST + ₹100 SGST), up to a maximum of ₹10,000

6. Apply for fresh GST registration

• Though not specifically provided under the CGST Act or Rules, as a matter of general practice taxpayers may apply for a fresh GST registration after cancellation when other remedies have lapsed

• Before applying for fresh registration file all pending returns under the cancelled GSTIN

• Clear outstanding tax liabilities(if any)

• Disclose the reason for earlier cancellation in the application

• The proper officer may require proof that the final return (GSTR‑10) has been filed and dues have been cleared before granting the new registration.

7. As a last resort – Writ petition in High Court

• If the cancellation was done without proper notice or in violation of natural justice, it is possible to approach the High Court under Article 226 of the Constitution(Consult an Advocate)

• Courts may order restoration of GST registration if the taxpayer has paid dues and can demonstrate genuine hardship.