Extension of Time Limit for making an application for revocation of cancellation of GST registration

49th Meeting of the GST Council held on February 18, 2023 in New Delhi, wherein it was recommended the amendment in section 30 of CGST Act, 2017 and rule 23 of CGST Rules, 2017 so as to provide that –

Notification:

Accordingly, The CBIC has issued ‘the Central Goods and Services Tax (Second Amendment) Rules, 2023’ vide Notification No. No. 38/2023-Central Tax dated 04.08.2023 to amend rule 23 of the CGST Rules:

In the said rules, in rule 23, in sub-rule (1), with effect from the 1st day of October, 2023,-

(a) for the part beginning with the words “within a period of thirty days” and ending with the words and figures “section 30”, the words “within a period of ninety days from the date of the service of the order of cancellation of registration” shall be substituted;

(b) in the first proviso, for the words “Provided that”, the following shall be substituted, namely:-

“Provided that such period may, on sufficient cause being shown, and for reasons to be recorded in writing, be extended by the Commissioner or an officer authorised by him in this behalf, not below the rank of Additional Commissioner or Joint Commissioner, as the case may be, for a further period not exceeding one hundred and eighty days:

Provided further that”;

(c) in the second proviso, for the words “Provided further”, the words ” Provided also” shall be substituted.

Analysis:

The time limit for making an application for revocation of cancellation of GST registration has been increased from 30 to 90 days.

Further, such period may be extended by the Commissioner or an officer authorised by him in this behalf, not below the rank of Additional Commissioner or Joint Commissioner, for a further period of not exceeding one hundred and eighty days.

The provision will come into effect from the 1st day of October, 2023.