GST Registration can be canceled either through tax authorities suo moto or voluntarily. If tax authorities cancel your GST Registration, it is known as Suo Moto cancellation of GST Registration. This article will guide you on how to activate GST Registration Canceled Suo Moto.
What is Suo Moto Cancellation of GST Registration?
Suo Moto Cancellation of GST Registration simply means the taxpayers will not be a GST Registered person. His or Hers GST Registration Certificate will become invalid. GST Registration Number or GSTIN will also become inoperative.
What happens when Suo Moto Cancellation of GST Registration is imposed?
- The taxpayers become ineligible to avail benefits of GST Registration.
- The taxpayers are not able to pay GST and claim Input Tax Credit.
- For businesses where GST Registration is mandatory, not having an active GST Registration and conducting business will result in heavy penalties and it will be considered as an offense.
Learn about the Benefits of GST Registration at: What are the benefit for applying for the gst number in India
Situations where you may face Suo Moto Cancellation of GST Registration
- Any tax payer other than taxpayer having Composition Scheme under GST Registration who has not done GST Return Filing for an uninterrupted period of six months
- Provides any items and/or services without an invoice, in contravention of the regulations in the Act or the rules under it, with the intent to avoid tax
- Issues any bill or invoice without the provision of services or goods in contravention of the provisions of the GST Act or the rules thereunder that result in a wrongful use of the input tax credit or tax refund
- Any amount as a representation of the tax, but fails pay it in the bank account that is maintained by the Central/State Government beyond a period of three months following the date that the payment is due
- Failure to make any payment of interest, tax or penalty due to the Central/State Government beyond a period of three months beginning from the date that such payment is due
- A person is no longer liable to take tax deduction at source, as per the GST Law.
- A person is no longer liable to be able to collect tax at source in accordance with the GST Law.
- The person is no longer required to register as per the GST Law.
- GST Practitioners are found to be guilty of conduct in connection with any matter in accordance with the GST Law.
- Discontinuation/Closure of Business
- Change in the Constitution that leads to changes in PAN
- Ceased to be liable for paying GST
- Transfer of business in the event of merger/merger, amalgamation, leasing, sale or other the disposal of.
- Death of Sole Proprietor in case business has Sole Proprietorship Registration
- Composition Scheme Registered taxpayer has not submitted returns for the past three tax periods.
- Registration was obtained through fraudulent means, or by intentional misstatement, or the suppression of information, etc.
Stepwise Procedure to activate GST Registration canceled suo moto
- Visit the GST Portal.
- Enter the portal using your Credentials.
- Go to the Dashboard and then select services. Under the services section click on registration and under the registration section, select application for revocation of canceled registration option.
- Enter the reasons for revocation and attach the supporting documents. (Complete the GST Return Filing Procedure too if your GST Registration was canceled due to non-compliance)
- Select the authorized signatory and Submit the application after signing it with Digital Signature Certificate or EVC.
You can also consult our experts for free at: 8881-069-069 if you have any other queries.
If the appropriate officer is satisfied with the taxpayer’s justification for reversing the cancellation of registration, the officer will undo the cancellation.
The competent officer will be doing it within the 30 days from the application date to revoke the registration. The competent official must sign an order in FORM GST REG-22 reversing the cancellation of GST registration.
Revocation Period Time Limit
Within 30 days of the date the order of cancellation of GST registration was served, any registered taxable person may request for the revocation of such cancellation. It should be emphasized that the application for revocation can only be made in situations when the competent authority has terminated the registration. Therefore, revocation is not available when a taxpayer voluntarily cancels their GST registration.
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