Revocation of cancellation of registration means the decision to cancel the registration has been reversed and the registration is still valid. Section 30 of the CGST Act 2017 read with Rule 23 of CGST Rules, 2017 deals with revocation of cancelled registrations.

This article explains the steps and procedure for the cancelled registration.

Application for Revocation of Cancellation

As per Section 30 of the CGST Act, 2017, any registered person, whose registration is cancelled by an officer, can apply to the officer for revocation of cancellation of the registration in the FORM GST REG-21 within 30 days from the date of service of the cancellation order at the common portal.

As per proviso to Section 30, this period may, if sufficient cause should be shown, and with reasons which should be recorded in writing, be extended:

1. by the Additional Commissioner or the Joint Commissioner, as the case may be, for a period not exceeding 30 days;
2. by the Commissioner, for a further period not exceeding 30 days, beyond the period specified in clause (a).

As per proviso to rule 23(4) in case the registration is cancelled due to non-filing returns then the application of revocation can only be filed after the said returns are furnished with payment of tax, interest, penalty and late fee.

Moreover, the second proviso to rule 23(1) mandates that the returns for the period from the date of order of registration cancellation till the date of order of revocation of cancellation of registration should be furnished within 30 days from the date of such order.

Example:-

Date of order of cancellation of M/s XYZ Ltd.	01/01/2021
Date of order of revocation of cancellation.	28/02/2021

M/s XYZ Ltd is required to furnish all the returns in the period from 01/01/2021 to 28/02/2021 by 31/03/2021 i.e. within 30 days from 28/02/2021.

Procedure for filing FORM GST REG-21

• First step is to Login to the GST Portal then select Services – Registration and then application for revocation of cancelled GST registration.
• State the required information and reasons for the restoration of GST Registration. Supporting documents in the file can be attached. Then click on the verification checkbox. Select the authorized signatory and place.
• Apply for the FORM GST REG-21 with DSC or with EVC. The application will be submitted successfully.

Benefits to Assesses whose GSTIN has been cancelled during 15/03/2020 to 14/03/2021

The Honorable Supreme Court, vide judgement dated 23/03/2020, 2020 – VIL-12-SC, taking suo-motu decision of the situation which arose from the challenge which the country is facing from Covid-19 Virus and the problems faced by the litigants across the country that extended the limit order under the general law or special laws from 15/03/2020 till 14/03/2021 and vide judgement dated 27/04/2021, 2021 – VIL-54-SC until further orders.

As reported by the judgement, the given instructions that are provided by the Principal Secretary / Commissioner of Commercial Tax, Chennai giving relation to Assesses whose GSTIN has been cancelled in the period of 15/03/2020 to 14/03/2021.

The instructions say that if the application for revocation of cancellation of registration has been already been rejected for the limit exceeding 30 days without taking into account the period from 15/03/2020 to 14/03/2021, the tax payers must be requested to fill an application again and the orders may be passed on merits.

Extension of date for filing Revocation Application

Vide notification No. 14/2021 dated on 01/05/2021 the time limit for filing the application for revocation of cancellation has extended up to 180 days from 90 days which will be valid till 15^th June, 2021.

Revocation of Cancellation

As per Rule 23(2) (a), in which the officer is well pleased, the reasons which should be recorded in writing, that there is enough to warrant a need for revocation of cancellation of registration by the order in FORM GST REG-22 within a time limit of 30 days from a date of receipt of the application and communicate the same with the applicant.

Rejection of Revocation Application

As per Rule 23(2) (b), the proper officer, by an order in form GST REG-05, can reject the application for revocation of cancellation of registration. He will inform the same to the applicant.

As per proviso to Section 30(2) the officer should not refuse the application for revocation of cancellation of registrations without giving an opportunity of hearing.

As per Rule 23(3), the proper officer shall, before passing the order of rejection, prepare a notice in the form GST REG-23 required the applicant to show the reason as why the application should be refused. The applicant must grant the reply with a period of 7 days from the date of service of notice in form GST REG-24.

As per Rule 23(4), after receipt information or clarification in form GST REG-24, the proper must begin to process the application in less than 30 days from the date of such receipt of information from the applicant.

Conclusion

The Application of Revocation must be made within the given timeline. If the registration is being cancelled due to not filing the returns, revocation of cancellation of GST registration could be applied only by filing the returns for the appropriate period with the payment of interest and penalty.