If a GST registration has been cancelled without due service of a show cause notice (SCN) to the taxpayer, the taxpayer may apply for the restoration of their GST registration. The process for restoring a cancelled GST registration is as follows:
Application for restoration: The taxpayer must file an application for restoration in FORM GST REG-21 on the GST portal within 30 days from the date of the cancellation of the registration. The application must be accompanied by all the required documents.
Verification of application: The GST officer will verify the application and may also seek additional information or documents from the taxpayer.
Order of restoration: If the GST officer is satisfied with the application and the documents furnished, they may issue an order restoring the GST registration of the taxpayer.
Intimation of restoration: The GST officer will also intimate the taxpayer about the restoration of their GST registration, and the date from which the restoration will be effective.
It is important to note that the restoration of a GST registration is subject to certain conditions and restrictions, such as the payment of any outstanding taxes, interest, or penalties, and the submission of any pending returns or documents. Additionally, the restoration of a GST registration does not relieve the taxpayer of any liability for any non-compliance or violation of the GST laws committed during the period of cancellation of their registration.
The relevant provisions under the GST Act for the restoration of GST registration that was cancelled without due service of a show cause notice (SCN) are as follows:
Section 29(2)(c) of the CGST Act, 2017: This section provides for the cancellation of the GST registration by the GST officer after issuing a SCN to the registered person and giving them an opportunity to be heard.
Rule 23 of the CGST Rules, 2017: This rule provides for the procedure for the cancellation of GST registration and also specifies the circumstances under which the registration can be cancelled.
Section 30 of the CGST Act, 2017: This section provides for the application for the revocation of the GST registration within 30 days from the date of the cancellation of the registration. However, this provision is not applicable in cases where the registration is cancelled without the issuance of a SCN.
Section 107 of the CGST Act, 2017: This section provides for the filing of an appeal against any order issued by the GST officer, including the cancellation of the GST registration.
Section 128 of the CGST Act, 2017: This section provides for the power of the GST officer to initiate a proceeding suo moto, i.e., on their own, in case of any non-compliance or violation of the GST laws.
Based on these provisions, a taxpayer can apply for the restoration of their GST registration if it has been cancelled without the issuance of a SCN. The taxpayer will need to file an application for restoration in FORM GST REG-21 on the GST portal within 30 days from the date of the cancellation of the registration. The GST officer will verify the application and may issue an order restoring the GST registration if they are satisfied with the application and the documents furnished. The restoration of the GST registration is subject to certain conditions and restrictions, as explained in my previous response.
Rule 22 of the CGST Rules, 2017 pertains to the suspension of GST registration. The key provisions of this rule are:
1. The GST officer may, upon being satisfied that the registration of a person is liable to be suspended, order the suspension of the registration of such person by an order in writing.
2. The order of suspension shall specify the effective date of suspension and the reason for suspension.
3. The GST officer shall also intimate the person whose registration has been suspended about the suspension and the reasons for it through a notice in FORM GST REG-31.
4. The GST officer may, during the period of suspension, pass an order for cancellation of the registration, if it is found that the person whose registration has been suspended has contravened any of the provisions of the CGST Act or the rules made thereunder.
5. The suspension of the registration shall be revoked by the GST officer if the person whose registration has been suspended furnishes the information and documents required for the revocation of the suspension and satisfies the GST officer that the grounds for suspension of the registration no longer exist.
6. The period of suspension shall be specified by the GST officer, which shall not exceed 30 days from the date of the order of suspension.
Overall, Rule 22 provides for the temporary suspension of GST registration in case the GST officer is satisfied that the registration is liable to be suspended. The rule also lays down the process for suspension and revocation of suspension of the registration, and the grounds for cancellation of the registration during the period of suspension.
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