Find
Sec 29(2) allows cancellation from a back date. Courts have said this needs reasons, not a mechanical order. A back-dated cancellation can put your buyers' ITC at risk for that period.
GST
Retrospective cancellation of GST registration
Updated . Every paid answer is checked by a CA. Free AI answers are labelled until a CA verifies them.
Provisions
Sec 29(2), CGST Act 2017; Sec 16(2)(c), CGST Act 2017
Analysis
If you filed returns and paid tax for those two years, a retrospective date harms your genuine buyers, which is a strong ground in appeal. Ask why that date was chosen. If the order gives no reasons for the back date, that itself is a point to raise. Keep proof of returns filed and tax paid for each month.
Close
- Read the order for the effective date and reasons.
- Collect proof of returns filed and tax paid.
- File an appeal or revocation as applicable, challenging the back date.
- Inform key buyers so they are not caught off guard.
Ignoring a back-dated cancellation can lead to buyers' ITC being questioned and claims against you.
Connect now
A Savvy replies in minutes.
Fixed price before you pay. Your Savvy is paid only after you accept the work.
General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.