GST Registration : Cancellation, Revocation and Re-Registration

The GST Regime mandates each person/business having an annual turnover of Rs. 40 lakhs* (Rs 10 lakhs for North Eastern countries ) or longer, to enroll as a typical taxable individual. Likewise, a individual making inter-state transactions of taxable goods/services can also be needed to be registered under GST. In a similar fashion, if a taxpayer is no more liable to pay tax, he could also opted to cancel his/her GST registration. But when the GST registration of a taxpayer is cancelled with the right officer, he can't procure taxable supply of products and services without even revocation. But for a individual, who proceeds to exchange taxable good/services without appropriate GST registration, it will be handled as an offence under GST and is responsible heavy penalties as found right by the authorised officer.

Cancellation of Registration under GST

The GST registration of the taxpayer could be considered for cancellation to the below-given situations:

1. Cancellation by Taxpayer

A taxpayer opts in for cancellation of registration on the grounds :

GST registration is compulsory for each and every company exceeding the threshold limitation. But if the annual turnover of this company falls below the specified threshold limitation, the registered individual can select in for GST cancellation.

The taxpayer has moved or merged the company with a different company or vice versa). In cases like this, the transferee (or the new firm from amalgamation/ / demerger) must find registration under GST.

The taxpayer has discontinued the enterprise.

There's a shift in the ministry of the Company

For cancellation, the taxpayer Will Need to submit an E-application at FORM GST REG-29 throughout the GST Portal. An authorised officer, upon appropriate enquiry, will offer cancellation of their registration.

If a taxpayer’s GST registration is cancelled or surrendered, then he/she needs to file a return in Form GSTR 10. It is known as the Final Return.

Revocation of Cancellation under GST

In the event of cancellation levied by an authorised officer, the specified taxpayer can employ revocation of cancellation within thirty days from the date of this cancellation order.

Process:

• A registered individual submits an application for revocation of cancellation through FORM GST REG-21 on the GST portal site.
• When the authorised officer is satisfied with the reason offered by the taxpayer, the registered officer is needed to,
• Record the grounds for revocation of cancellation of registration in writing.
• Reverse the cancellation of registration.
• Pass an order of revocation at FORM GST REG-22.
• But if the motive filed by the taxpayer isn't found sufficient to the authorised officer, he could deny the application for revocation. The officer must purchase in FORM GST REG-05 and convey the exact same to the offender.
• Before rejecting, the appropriate officer must issue a show cause notice in FORM GST REG--23 for the applicant to demonstrate why the application shouldn't be rejected. The applicant should answer in FORM GST REG-24 in seven working days from the date of the service of this notice.
• The appropriate officer must have a decision within 30 days from the date of receipt of clarification from the offender in FORM GST REG-24.

Re-Registration beneath GST

As stated before, for almost any provider of taxable products and services, surpassing the specified threshold limitation, must enroll under GST. Nonetheless, in recent times, GST officials also have encounter program of new registration of companies, who've had their registration cancelled by an officer, due to all their statutory provisions.

To prevent such conditions, CBIC published Vide circular no. 95/14/2019-GST dated March 28th, 2019,whereas the officers have explained the consequence that the taxpayer must confront in the event of non-revocation of cancelled registration.

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