Cancellation of GST Registration

Under the new Goods and Services Tax law, all taxable persons having turnover over Rs.20 lakhs is bound to obtain registration. Such taxable persons may cancel their own registration or have their registration cancelled by the authorities due to violations.The registration granted under GST can be cancelled for specified reasons.

Cancellation can either be initiated:-
By the department on their own motion  or
The registered Person can apply for cancellation of their registration voluntarily.

Remark: A person who has voluntarily obtained GST registration cannot apply for cancellation of GST registration before the expiry of one year from the date of registration


Reasons for Cancellation

The registration can be cancelled for the following reasons:


Mandatory Amount that is Payable on Cancellation

Requirements for Cancellation of registration

  • Documents Required for GST Registration

    Documents for Cancellation of registration

    • GST Login Id & Password
    • Details of Inputs and capital goods held in stock on the date from which cancellation of registration is sought
    • Details of Liability as on date
    • Details of the payment, if any, made against such liability
    • Details of Sales & purchase Invoices upto that date for filling Final Return in GSTR-10
    • Any other details as required

Process for Cancellation of GST

  • Step 1

    Assignment of expert & Collection of Information by mail

  • Step 2

    Filling of Application GST REG-16 application for cancellation of registration

  • Step 3

    Filling of form GST REG-17 to show cause notice within 7 days

  • Step 4

    On successful show cause hearing, Order for cancellation of registration is done under Form GST REG-16.

  • Step 5

    Filling of final return within three months of the date of cancellation or date of order of cancellation, whichever is later, electronically in FORM GSTR-10

Frequently Asked Questions

Taxpayers need to file for cancellation of GST registration within 30 days from the date from which registration is liable to be cancelled, in case of voluntary cancellation

In case a Taxpayer has taken voluntary registration in GST regime, he cannot file application for cancellation of registration before the expiry of one year.

The following people cannot file for cancellation of GST registration:

1. Persons registered as Tax Deductors / Tax Collectors

2. Persons to whom UIN has been allotted

In case of amalgamation / merger / change in constitution of business, the new entity (i.e. transferee entity) must be registered with the tax authority, and must have a valid GSTIN at the time of filing for cancellation of GST registration by the old amalgamated / merged / transferred entity.

Yes, it is mandatory to give reasons for cancellation of registration in the Reason for Cancellation field.

No. In case you have issued an invoice; you cannot cancel your provisional registration. You can apply for cancellation of registration in Form GST-REG-16

Revocation means the official cancellation of a decision or promise. Revocation of cancellation of registration means that the decision to cancel the registration has been reversed and the registration is still valid.

This is applicable only when the tax officer has cancelled the registration of a taxable person on his own motion. Such taxable person can apply to the officer for revocation of cancellation within thirty days from the date of the cancellation order.

 

The answer is no. Because filing NIL return or non filing of return does not mean that registered person is not conducting any business at the declared place. The term conduct of business is not limited to mere purchase and/or sale of goods and/or services. It includes wide range of activities from planning, organizing, directing or controlling, strategy making etc for the business. Thus, filing of NIL return or no return alone can not cause cancellation of registration.