GST Registration to be Suspended for Anomalies

CBIC has issued Standard Operating Procedure (SOP) for suspension of registration of a person on observance of such discrepancies /anomalies which indicate violation of the provisions of the Act.

As per the SOP, the registration of specified taxpayers shall be suspended and system generated intimation for suspension and notice for cancellation of registration in FORM GST REG-31, containing the reasons of suspension, shall be sent to such taxpayers on their registered e-mail address.

It may be pertinent to note that such notice/intimation shall be made available to the taxpayer on their dashboard on common portal in FORM GST REG-17, till the time functionality for FORM REG-31 is made available on portal. This notice will be made available in the “View/Notice and Order” tab post login.

The SOP further stated that wherein the registration of specified taxpayers are suspended, the taxpayers would be required to furnish reply to the jurisdictional tax officer within 30 days from the receipt of such notice/intimation, explaining the discrepancies/anomalies and the reasons as to why their registration should not be cancelled. Reply needs to be sent to the jurisdictional officer through the portal vide FORM GST REG-18 within the time-limit of 30 days.

The SOP further added that, in case the intimation for suspension and notice for cancellation of registration is issued on ground of non -filing of returns, the said person may file all the due returns and submit the response.

What can be the ANOMALIES for suspension of registration?

• Significant difference in Outward Supplies and Tax liability declared in GSTR-1 and GSTR-3B
• Significant difference in Inward Supplies and ITC claimed in GSTR-3B with comparison of GSTR-1 furnished by suppliers

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