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GST Registration Cancellation

1450* Basic Package

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Overview

Canceling a GST registration in India is a not tedious job. A GST registration obtained in India is easy to cancel by the registered person. Even the GST officer or legal heirs can also cancel the registration. In case of death of any person registered under GST, his/her legal heir can apply for cancellation in various forms of GST registration amendment. 

Entities who can initiate cancellation of GST

As far as the confirmation A GST registration granted to any entity can be canceled by an officer if:

1) Any taxable person issues invoice without any supply of goods. It comes under the violation of the GST Act.

2) If the taxable person under GST registration doesn’t handle any business from the place of business

3) If any entity having registration fails to file GST for six months continuously. 

However, before canceling registration, any GST officer would issue a notice to the liable person. The GST officer will issue you notice for show cause of the violation. The entity liable must state the cause notice within seven days. If you fail to abide by the regulations, then your GST registration gets canceled. 

Circumstances for voluntary cancellation

As per section 29, CGST Act, any individual can initiate the cancellation of GST registration under the following circumstances:

1) Discontinuation of the business (Closure of the business registered under GST).

2) Transfer of business, business accounts, and amalgamations or in case of a lease or any relevant reasons.  

3) Change in business constitution leads to PAN change

4) Business turnover becomes less than the threshold limit that is INR twenty lakhs.

5) Death of sole proprietor.

6) Registered under GST voluntarily but fails to do any business under a specified time.

7) Not liable under GST Act anymore.

Circumstances for compulsory cancellation

GST Department can initiate the compulsory cancellation of GST registration in the following circumstances:

1) Non-filing of GST returns, If GST registered person fails to file 6 month continue GST returns.

2) Non-Payment of GST, GST registration can be cancel by the GST department in case of non-payment of due GST liability.

3) No business activity, if no business started within 6 month from the date of GST registration.

4) Non-filing of composite GST return, If GST registered person fails to file 3 month continue GST returns.

5) Unlawful GST Registration, If GST registration is taken without proper documents or registered address.

6) Unlawful activity, If GST registered person doing any unlawful or illegal activity.

Taxpayers who cannot initiate cancellation

According to section 29, CGST Act, some taxpayers cannot file cancellation for GST. The entities that cannot file cancellation are:

1) Taxpayers registering as Tax deductors

2) The taxpayers who have UIN

Things to ensure before initiating GST cancellation

Before applying for GST registration cancellation, any entity must file all their GST returns up-to-date. If there is any non-compliance concerning GSTR-3B return or GSTR-1 return, the entities must file overdue before cancellation. 

1.Forms used to cancel GST registration 

There are various forms of canceling GST registration. The following are the forms to cancel GST registration.

2.GST REG 16: 

GST REG 16 is a form applicable for the taxpayers who initiate cancellation themselves. And there are no considerations for the application other than the taxpayer application elapsing one or more years after GST registration.

3.GST REG 17: 

GST REG 17 is a form for the GST officer. When a business violates any regulation made under GST Act, a show-cause notice is sent to the entity using the GST REG 17. The GST officer initiates the cancellation using GST REG 17.

4.GST REG 18: 

GST REG 18 is a form for the taxpayers to reply to the show-cause notice. The taxpayers must reply to the notice within seven days of issuance of notice.

5.GST REG 19: 

GST REG 19 is a form applicable to the GST officer for issuing a formal order for canceling GST.

6.GST REG 20: 

If a show-cause notice satisfies the GST officer, he/she can direct the revoke of any proceedings using the GST REG 20. 

Consequences of not canceling GST registration

Once after obtaining the GST registration, if any business entity fails to do any business, then the taxpayers must initiate GST cancellation immediately. If the taxpayers stop filing GST returns and wait for the department to cancel, then the individual would not be able to obtain GST registration under the same PAN again.

Document Required

  • Proof of last payment of GST
  • All pending return should be file

Time Lines

  • (2 to 15 Days)
  • Purchase the Service
  • Upload / send the Documents
  • Discussion with expert
  • Filing of application with registrar authorities
  • Receipt of Registration Certificate
  • Confirmation to client

Service Covered

Pricing for what you want required service

Basic

1450*
  • Expert Consultation
  • Cancellation of GST Registration with no activity

Business

2390*
  • Expert Consultation
  • Cancellation of GST Registration
  • Filing of last GST Return

Enterprise

4950*
  • Expert Consultation
  • Cancellation of GST Registration
  • Filing of last GST Return
  • Filing of one reply against GST notice
  • Notes:
  • * This price is inclusive of all Govt filing fee and excluding GST amount.

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