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Bennisha

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Published on: Jul 30, 2026

Rule 155 of GST - Recovery through Revenue Authorities

Rule 155 of the CGST Act deals with the recovery of

GST dues by way of issuing a certificate to the concerned land revenue authorities to hold or seize property. This rule is applicable in case of recovery of GST dues from a person on account of default in payment. Application of Rule 155 of the GST Act is one of the final recovery measures of the Government. Prior to initiating action as per Rule 155, the GST Department would provide sufficient notice and opportunity for all taxpayers to pay the overdue GST amount.

Rule 155 of GST

Rules 155 of CGST Act states as under: "Where an amount is to be recovered in accordance with the provisions of clause (e) of sub-section (1) of section 79, the proper officer shall send a certificate to the Collector or Deputy Commissioner of the district or any other officer authorised in this behalf in FORM GST DRC-18 to recover from the person concerned, the amount specified in the certificate as if it were an arrear of land revenue." Hence, a GST officer is empowered to initiate the recovery of

GST payment due through a Collector or Deputy Commissioner of the district or any other officer in the land revenue department. To authorise a land revenue officer to collect dues, the GST department must issue a certificate to the concerned officer in the following format:

Recovery of GST Dues

In addition to the above, the GST Department would also initiate the following recovery proceedings to collect any overdue GST amount:

  • Issue of notice in writing requiring the person who is indebted to make any payments.
  • Hold GST refund of a taxpayer until remitting any overdue payment.
  • Classify a person who not paid GST dues in response to a GST notice as a defaulter to the amount mentioned in the notice.
  • Fils an application to the appropriate Magistrate and the Magistrate to takes steps to recover the amount from that person.
  • Detains any property belonging to the person until the person pays the amount. 30 days is the limit to pay the amount, if not the property will be sold.
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Frequently Asked Questions

Common questions about GST Rule 155.

Answer: The GST department can invoke Rule 155 of the CGST Act as one of the final recovery measures when a person has defaulted in payment of GST dues. This rule allows the department to issue a certificate to the concerned land revenue authorities to hold or seize the defaulter's property.
Answer: Before invoking Rule 155, the GST department provides sufficient notice and opportunity to the taxpayer to pay the overdue GST amount. If the taxpayer fails to pay despite the notices, the department can then initiate action under Rule 155 as a final recovery measure.
Answer: The GST department issues a certificate to the land revenue authorities in FORM GST DRC-18 to recover the amount specified in the certificate from the defaulter, as if it were an arrear of land revenue.
Answer: In addition to invoking Rule 155, the GST department can initiate various other recovery proceedings, such as issuing a written notice for payment, holding GST refunds, classifying the defaulter as a 'defaulter,' filing an application with a Magistrate, detaining the defaulter's property, and ultimately, selling the property if the amount remains unpaid after 30 days.
Answer: No, the GST department cannot directly seize a defaulter's property without following the due process. Before initiating any recovery proceedings, including invoking Rule 155, the department must provide sufficient notice and opportunity to the defaulter to pay the overdue GST amount.
Answer: Under Rule 155, the land revenue authorities, such as the Collector or Deputy Commissioner of the district, are authorized to recover the GST dues from the defaulter, as specified in the certificate issued by the GST department, as if it were an arrear of land revenue.
Answer: Yes, the defaulter has a limit of 30 days to pay the overdue GST amount after the GST department has initiated recovery proceedings. If the amount remains unpaid after 30 days, the department can proceed with seizing and selling the defaulter's property.
Answer: The article does not specifically mention the recovery of GST dues from a defaulter's bank accounts. However, the GST department can initiate various recovery proceedings, including detaining the defaulter's property, which may include bank accounts, until the overdue amount is paid.
Answer: Classifying a person who has not paid GST dues in response to a GST notice as a 'defaulter' to the amount mentioned in the notice is one of the recovery proceedings initiated by the GST department. This classification likely serves as an official recognition of the defaulter's status and may have legal implications in the recovery process.
Answer: The article does not provide specific information about the jurisdiction or geographical scope of the recovery proceedings initiated by the GST department. However, it is likely that the department can initiate recovery proceedings against a defaulter in multiple states or jurisdictions, as GST is a nationwide tax regime.