GST Relief: MP State Tax Department Repeals Suo Moto GST Registration Cancellation

The Madhya Pradesh state commercial tax department had cancelled GST registration numbers of over 5,000 traders and dealers in the state Suo moto post failure by the later to file GST returns. However, the decision was revoked later and the tax department also allowed revocation options for these dealers. Since then as per the department, it has till now received more than 1,000 revocation requests from dealers all over the state. Further, steps have also been taken to expedite the process and ensure prompt registration.

As per reports, registration of those dealers who had failed to file GST returns for over six months was cancelled by the department. The mains reason for the failure was in most cases Financial constraints. Besides another big reason was the complete shutdown of businesses by the traders/dealers.

However, the repeal has enabled honest taxpayers to revoke their GST registration who had failed to file returns in the first place owing to genuine GST ambiguities. The Pithampur Audhyogik Sangathan has welcomed the move by the state tax departments move to as well as industrialist whose registration had been earlier cancelled. Reportedly, the total number of GST registered taxpayers now stand at 4 lakh as opposed to the 2,90,457 in the erstwhile VAT regime.