The Congress Party, which is in power nationally, had complained about the manner in which the vote was held. The Speaker had not allowed an independent member to vote and had him removed from the legislative assembly.
The federally appointed governor, S.C. Jamir, overturned the result saying the BJP did not have the required numbers for the vote.
The BJP was furious and threatened nation-wide protests.
"The action of the Goa governor in dismissing the Goa state government after it had proved its majority on the floor of the house is nothing short of murder of democracy," said BJP president Lal Krishna Advani, India's former deputy prime minister.
A delegation of senior party leaders will call on the Indian President A.P.J. Abdul Kalam "to seek his intervention," Advani said.
The BJP-ruled state government had to face the trust vote after two of its regional allies withdrew their support.
India's Congress party had quickly cobbled together an alliance and staked its claim to form the state government.
The Congress Party toppled the BJP from power at the federal government in general elections last year after a series of wins in state polls.