Cancellation of GST registration is not a hard work as Indian government GST Portal has provided a simple an easy step by step procedure to finally cancel the GST registration of migrated taxpayers through newly implemented feature. Goods and services tax which was implemented recently and to be exact on 1st July 2017 with a lot of promises and work on progress tagline, is known to be subsuming all the indirect taxes into one. All the business units are exempted from paying GST which are under the turnover of 20 lakhs annually and all the business units above this exemption limit have to be registered under the GST.
The registration part has been discussed everywhere and has been understood manifold by guides and articles, but now there comes a chance to cancel the registration under GST by the taxpayer itself or by any governing authorities. The cancellation option is for migrated taxpayer only who wants to cancel their registration on GST.
By far we have got the confirmation that the business organization can cancel their registration by the means o the recently popped up feature on the GSTN portal, but the cancellation feature is limited to only 3 entities who can initiate the cancellation of registration:
- The taxpayer himself
- GST officer
- A legal heir of the taxpayer
The cancellation of the registration can be initiation in some cases like the death of the taxpayer. While the registration can also be done voluntarily but only after one or more years are elapsed starting from the date of GST registration.
Latest Update Under Cancellation of GST Registration
03rd April 2023
- GST registrations that have been revoked under a new procedure have been introduced. Applicants must file the application by June 30, 2023, after filing all returns with tax payments up to that date. Read Notification
16th November 2022
- The Orissa HC has allowed an assessee to file GST returns previous to the cancellation of registration and directed the Government to modify the portal accordingly. read order
25th March 2022
“The CBIC has added the advisory about the new functionality of restoration of cancelled registration under GST via REG-21.” Read More
18th February 2022
- “The GSTIN has enabled new features for the taxpayers to easily withdraw the application of GST registration cancellation.”
16th January 2022
- The High Court of Gujarat has stopped the cancellation of registration under the GST regime on grounds of vague show cause notice (SCN) without any material particulars. read order
09th September 2021
“Clarification regarding extension of time limit to apply for revocation of cancellation of registration in view of Notification No. 34/2021-Central Tax dated 29th August 2021” Read Circular
30th August 2021
- The central government has extended the deadlines of filing an application for revocation of registration cancellation till 30th September 2021. Read Notification
07th July 2021
- The Rajasthan High Court issues an order for the petitioner, M/s. Avon Udhyog related to the cancellation of GST registration due to failure to file a reply within time. Read Order
31st May 2021
- “In the 43rd GST meet, the last date for filing an application for revocation of cancellation between 15 April to 29th June 2021, has been extended till up to 30th June.”
18th May 2021
- “Seeks to prescribe Standard Operating Procedure (SOP) for implementation of the provision of extension of time limit to apply for revocation of cancellation of registration under section 30 of the CGST Act, 2017 and rule 23 of the CGST Rules, 2017”. read circular
17th May 2021
- “CBIC: In view of Notification No. 14/2021 date 01.05.2021, the timeline for filing the ‘Application for Revocation of Cancellation’ has been extended for those applicants, for whom the due date to file the same falls between 15 April to 30th May 2021. Now, they can file the said application till 31st May 2021”.
14th May 2021
- “CBIC: In view of Notification No. 14/2021 date 01.05.2021, the timeline for filing the ‘Application for Revocation of Cancellation’ has been extended to 180 days from 90 days which will be valid up to 15th June 2021”
GST Authorities Cancelled 1.63 lakh Registrations
Goods & services tax (GST) authorities have cancelled over 1.63 lakh registrations in October and November of taxpayers who have not filed their GSTR-3B returns for more than six months. The council started serving notices to taxpayers who did not file their GSTR-3B returns for the past six months or more and then cancelled their registration as per the procedure.
Conditions, When a Taxpayer Can Cancel the GST registration?
- Discontinuance or closure of the business
- Taxable person ceases to be liable to pay tax
- Transfer of business on account of amalgamation, merger de-merger, sale, leased or otherwise
- Change in constitution of business leading to change in PAN
- Registered voluntarily but did not commence any business within specified time
- A taxable person not liable any longer to be registered under GST act
Who All Cannot File the Cancellation of GST Registration?
- Taxpayers registered as Tax deductors / Tax collectors
- Taxpayers who have been allotted UIN
Steps for Cancellation of GST Registration Online on GST Portal
The GSTN portal is live with the cancellation of GST registration for the migrated taxpayers. All the taxpayers who have not issued any invoice after the registration can opt for this service. The individual can fill out form GST REG 16 in case he has filled any tax invoice.
Steps for cancellation of GST registration for the migrated taxpayer:
- Login with username and password on GST portal
- Then click on the tab ‘Cancellation of provisional registration’
- After which a popup will ask that if a taxpayer has raised any tax invoice in the period of GST
- Select ‘No’
- After the selection, the taxpayer will have to go through verification and have to submit all the form related details along with the digital signature/EVC
Forms used to cancel GST registration:
GST REG 16: The forms are applicable only when the taxpayer himself applies for the cancellation of registration and there is no consideration for the application other than the taxpayers’ application which has elapsed one or more year after the GST registration.
GST REG 17: An authorized GST officer can provide the notice of show cause/cancellation to the registered taxpayer and its business entity by using the REG 17 form. The cancellation of registration by the authorized officer can be initiated after issuing the GST REG 17 form to the taxpayer and he can ask for show cause as if why the registration should not be cancelled.
GST REG 18: The show cause notice can be replied by the means of furnished GST REG 18 form under the specified time period stated in the sub-rule (1). The taxpayer or the concerned party must reply to the notice within 7 days of issuance of the notice giving the explanation of safeguarding the cancellation of registration.
Read Also: Goods and Services Tax (GST) Forms for Registration & Cancellation
GST REG 19: The GST REG 19 form is for the usage of GST officer for issuing a formal order for the cancellation of GST registration. The order for sending the notice must be under 30 days from the date of application or the response date in GST REG 18 form.
GST REG 20: The show cause notice when satisfied by the GST officer can direct for the revoke of any proceedings towards the cancellation of the registration and he should pass the order in the Form GST REG 20.
Application for Revocation of Registration on GST Portal
