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Conflict between the GST provisions:

RAHUL SINGH (Student CA Final ) (69 Points)

24 June 2017

As per GST Act the existing registered dealers are compulsorily required to migrate to GST . But the said act also says that those dealers whose value of taxable supplies doesn't exceed 20 Lacs are not required to obtain registration under GST.
Suppose an existing registered dealer having annual turnover of 15 lacs.
On the one hand he has to mandatorily migrate to GST which is a prerequisite for registration under GST and on the other hand he has not to obtain the registration as his annual turnover doesn't exceed 20 Lacs.
Please clear the above issue by giving clear reference of relevant provisions.

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5 Replies

Devansh Jain (...) (1269 Points)
Replied 24 June 2017

There is no conflict. If you are registered under existing law, then u have to register! (refer section 22(2)) . This view is also confirmed by gst on their Twitter handle..

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mohit (Manager- Tax) (46 Points)
Replied 24 June 2017

In addition to devansh answer, after appointed day u can surrender the same if not liable for registration

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Devansh Jain (...) (1269 Points)
Replied 24 June 2017

Exactly Mohit! This seems another way that do the registration to comply the requirement and soon after get the registration cancelled to omit the burden of complainces later on...

CA Saloni (Manager-Accounts & GST Consultant) (5124 Points)
Replied 24 June 2017

Sec 139(3) of CGST act clearly says- the certificate of reg issued to a person shall be deemed to habe not been issued if the said reg is cancelled in pursuance of an app filed that he was not liable to be reg u/s 22 or 24