GST Cancellation

[Karan Bansal]

If GSTIN is cancelled, can there still be a penalty?

[Rajagopalan Ranganathan]

Sir,

If the penalty is quantified before cancellation of registration through proper order then the same can be collected from you even after cancellation of registration.

[KASTURI SETHI]

Yes. Penalty is imposed upon the person for the offences committed during the period that person remained registered.

Cancellation of registration does not mean the offender is absolved of the offence committed during the period when he was registered. 'Time factor' does not reduce the gravity of the offence or economic crime committed..

[KASTURI SETHI]

Cancellation of registration does not mean clean chit to the accused/noticee.

[Shilpi Jain]

Yes. The department can issue a demand until the period of limitation under the law u/s 73 & 74.

[Ganeshan Kalyani]

I agree withe views of all the experts.

[Rupali Gupta]

Yes, I agree with experts, prior dues including penalty will not be affected because of GST cancellation.

AI Summary

Penalty recovery after GST registration cancellation remains possible where liabilities were incurred during registration and quantified beforehand. Cancellation of GST registration does not extinguish liabilities or penalties incurred during the period of registration; where a penalty has been properly quantified by order, it remains collectible after cancellation, subject to the applicable limitation period and procedural requirements for issuing a demand.