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New GST registration functionality for corporate debtors

  • Aug 11, 2020 | Divita S Gupta

In a significant move that will benefit taxpayers who fall under the category of Corporate Debtor as per provisions under the Insolvency and Bankruptcy Code, a new registration functionality has been enabled on the Goods and Services Tax (GST) portal.

In March this year, the Goods and Services Tax Network had announced a special procedure for companies undergoing the Corporate Insolvency Resolution Process (CIRP). Under this resolution process, the management of affairs of the company would be undertaken by interim resolution professionals (IRP) or resolution professionals (RP). As per the notification issued by the GSTN, a corporate debtor would be treated as a distinct person with effect from the date of appointment of an IRP/RP. The corporate debtor would also be required to apply for new GST registration within 30 days of the appointment of an IRP/RP. This new registration would be for each state where the company was previously registered. In cases where IRP/RP was appointed prior to the issuance of the notification from the GSTN, viz. March 21st 2020, the company would be required to apply for and obtain a new GST registration within 30 days from the date of notification.

To facilitate faster and efficient registration under the Goods and Services Tax, the GST portal has introduced a provision while applying for GST registration online. Here’s everything you need to know while applying for new GST registration as a corporate debtor.

While applying for GST registration, a taxpayer is required to select the reason for application of GST registration. The insolvency resolution professional will be required to select the option of “corporate debtor undergoing the corporate insolvency resolution process by IRP/RP" in the drop down menu while applying for a new GST registration on the GST portal.

Apart from applying for a new GST registration, corporate debtors will also be required to furnish GST returns, pay the output tax liability due and meet other GST compliance requirements as provisioned under GST law during the corporate insolvency resolution process (CIRP) period.


Avalara helps businesses of all sizes get GST return filing, e-way bill generation and e-invoicing right with cloud-based GST compliance solutions in India. Goods and Services Tax (GST) rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Avalara Author
Divita S Gupta
Avalara Author Divita S Gupta
Divita has served as a writer and editor for top financial services organizations in India. She has written on topics like mutual funds, insurance, taxes, SME financing for globally recognized banking and financial organizations including ICICI, Aditya Birla Group, News Corp. With a Masters in Business Administration from Symbiosis International University, she currently owns a small business in Mumbai.

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