Rule 21A. Suspension of registration. -
(1) Where a registered person has applied for
cancellation of registration under rule 20, the registration shall be deemed to
be suspended from the date of submission of the application or the date from
which the cancellation is sought, whichever is later, pending the completion of
proceedings for cancellation of registration under rule 22.
(2) Where the proper officer has reasons to believe
that the registration of a person is liable to be cancelled under section 29 or
under rule 21, he may, 2[****] suspend the registration of such person with
effect from a date to be determined by him, pending the completion of the
proceedings for cancellation of registration under rule 22.
3[(2A) Where, a comparison of the returns furnished by
a registered person under section 39 with
(a) the details of outward supplies furnished in FORM
GSTR-1; or
(b) the details of inward supplies derived based on
the details of outward supplies furnished by his suppliers in their FORM
GSTR-1,
or such other analysis, as may be carried out on the
recommendations of the Council, show that there are significant differences or
anomalies indicating contravention of the provisions of the Act or the rules
made thereunder, leading to cancellation of registration of the said person,
his registration shall be suspended and the said person shall be intimated in
FORM GST REG-31, electronically, on the common portal, or by sending a
communication to his e-mail address provided at the time of registration or as
amended from time to time, highlighting the said differences and anomalies and
asking him to explain, within a period of thirty days, as to why his
registration shall not be cancelled.]
(3) A registered person, whose registration has been
suspended under sub-rule (1) or sub-rule (2) 3[or sub-rule (2A)], shall not
make any taxable supply during the period of suspension and shall not be
required to furnish any return under section 39.
4[Explanation. - For the purposes of this sub-rule,
the expression "shall not make any taxable supply" shall mean that
the registered person shall not issue a tax invoice and, accordingly, not
charge tax on supplies made by him during the period of suspension.]
3[(3A) A registered person, whose registration has
been suspended under sub-rule (2) or sub-rule (2A),shall not be granted any
refund under section 54, during the period of suspension of his registration.]
(4) The suspension of registration under sub-rule (1)
or sub-rule (2) 3[or sub-rule (2A)] shall be deemed to be revoked upon
completion of the proceedings by the proper officer under rule 22 and such
revocation shall be effective from the date on which the suspension had come
into effect.]
3[Provided that the suspension of registration under
this rule may be revoked by the proper officer, anytime during the pendency of
the proceedings for cancellation, if he deems fit.]
5[Provided further
that where the
registration has been
suspended under sub-rule
(2A) for contravention of the
provisions contained in clause (b) or clause (c) of sub-section (2) of section
29 and the registration
has not already
been cancelled by
the proper officer
under rule 22,
the suspension of registration
shall be deemed
to be revoked
upon furnishing of
all the pending returns.]
4[(5) Where any order having the effect of revocation
of suspension of registration has been passed, the provisions of clause (a) of
sub-section (3) of section 31 and section 40 in respect of the supplies made
during the period of suspension and the procedure specified therein shall
apply.]
