GST Revocation
GST Revocation is the process to restore a cancelled GST registration. Taxpayers can apply within 90 days (extendable) of cancellation by filing Form GST REG-21, provided all returns are filed and dues cleared. Approval reinstates the GSTIN and allows resumption of business activities.
GST Revocation: Canceling the Cancellation of GST Registration
What is GST Revocation?
GST revocation is the process by which a cancelled GST registration is reinstated. Whether cancelled voluntarily by the taxpayer or involuntarily by tax authorities, revocation allows businesses to resume their GST-compliant operations, including issuing GST invoices and claiming Input Tax Credit (ITC).
When Does Cancellation Occur?
Cancellation by Taxpayer:
- Business closure or discontinuation
- Transfer, merger, or change in business structure
- Turnover below GST threshold limits
- Voluntary cancellation for various reasons
Cancellation by Authorities:
- Non-compliance (e.g., not filing returns for consecutive months)
- Fraudulent registration or violation of GST laws
- Unauthorized activities or wrongful ITC claims
- Non-commencement of business
Why is Revocation Important?
- Enables legal GST invoicing
- Allows claiming Input Tax Credit (ITC)
- Prevents penalties for unauthorized GST collection
- Maintains business credibility and compliance
Key Points Before Applying for Revocation
- Clear all outstanding tax dues and penalties
- File all pending GST returns
- Reverse or pay back any unutilized ITC
- Maintain compliance and documentation for audit
Time Limit to Apply
Taxpayers have 90 days from the cancellation order date (extended from 30 days as of October 1, 2023) to apply for revocation.
Required Documents for Revocation
- GSTIN and login credentials
- PAN card of business/proprietor
- Proof of business address (electricity bill, lease agreement, etc.)
- Bank account details (statement, cancelled cheque, passbook)
- Filed GST returns during cancellation period
- Filled application form: GST REG-21
GST Revocation Process Overview
- Consultation: Assess eligibility and explain process.
- Document Collection: Gather required proofs and statements.
- Application Preparation: Complete GST REG-21 with accurate info.
- Application Filing: Submit online through GST portal with supporting docs.
- Application Tracking: Monitor status and respond to queries.
- Revocation Order: Receive official approval to resume GST registration.
