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Standard Procedure of GST Rule, When GST Registration get Suspension

The purpose of this Article is for the advice Standard Process of GST Rule, When GST Registration got Suspension. It cannot be denied that troubles come uninformed. That is exactly what can happen if GSTR-3B shows significant differences with GSTR 1 or GSTR 2A / GSTR 2B.

Wondering how bad it can get?

Well, as per Rule 21(2A) of CGST Rules 2017, a GST Officer has the authority to suspend your registration. Yes, it is that bad, and it can get worse for your business from there.

BUT all is not lost. There are ways to combat the situation. Today, we will share with you how to.

Standard Operating Procedure according to the Circular No 145/01/2021– GST rule in case of Suspension of Registration

This is how it will begin –

Intimation of Suspension in Form REG 31

In case the when the registration of a taxpayer is suspended, the taxpayer will get a system-generated intimation of suspension and notice for cancellation of registration in FORM GST REG-31. This notice will contain reasons for suspension and will be sent to the taxpayer’s registered email id. In this case, the taxpayer needs to explain, within 30 days, why the registration should not be suspended.

Reply in Form REG 18 within 30 days of Intimation received-

Based on the receipt of the notice, the taxpayer needs to respond in GST Form REG 18 explaining the cause for the differences or anomalies to the Jurisdictional Tax Officer. The taxpayer will also be needed to evolve the details of compliances made and/or the reason why their registration should not be cancelled.

On the other hand, if the intimation for suspension and notice for cancellation of registration is issued on the basis of non-filing of returns, the taxpayer before filing the reply, should have to file all pending returns.

Order Issuance either in Form REG 20 or REG 19 by GST Officer

It is totally on the GST Officer to pass an order for either dropping the processings for suspension or cancellation of registration in FORM GST REG-20, or for cancelling the registration in FORM GST REG-19. Depending on the decision of GST officer, the status of GSTIN would change to “Active” or “Cancelled Suo-moto”.

We know and understand that suspension or cancellation of registration can be miserable for any business. Thus, it is always best to stay cautious and avoid going down the wrong track.


1. Adopt a Proactive & Preventive approach towards filing & reconciling GST Returns. Remedial actions can get costly.

2. Rely on Automated Return Reconciliation Software which uses AI and BI to keep you updated & ahead of the crowd.