Get GST Registration cancelled in 7 working days

We provide GST registration cancellation services all over India. The first step to avail our services is to select the package from below and make payment. Our team will contact you once you make payment or you can reach out to us at the provided phone numbers.

GST Registration Cancellation

Turnover (Sales) upto INR 10 Lacs
Rs. 1499
  • Adding Details of Inputs, Semi Finished and Finished Goods on Date of Cancellation
  • Calculation of Liability and Filling GST Cancellation Return
  • Providing Clarification for Show Cause Notice
  • GST Consultant 24/7 Support
  • Filing of GSTR-10
Pay Rs. 1499 & Get Started

  • +917701879108 // +918588918033

GST Registration Cancellation

Turnover(Sales) upto INR 10 Lacs to Rs. 50 Lacs
Rs. 2999
  • Adding Details of Inputs, Semi Finished and Finished Goods on Date of Cancellation
  • Calculation of Liability and Filling GST Cancellation Return
  • Providing Clarification for Show Cause Notice
  • GST Consultant 24/7 Support
Pay Rs. 2999 & Get Started

What are the reasons for GST Registration Cancellation?

Circumstances where GST registration is liable to be canceled. The GST registration cancellation process is initiated due to the following reasons.

  1. Due to discontinuation of business – The business for which GST registration was obtained had ceased to exist or is under liquidation. Once the business is shut down, taxpayers are still required to file GST returns and comply with the law. Hence, it is advised to get the GST registration canceled.
  2. Transferred fully for any reason including death of the proprietor – The business gets transferred to any other entity or if the person running the business dies, GST registration would be required to be canceled. In case of transfer, new GST registration would be required and the earlier GST registration obtained would be canceled.
  3. Amalgamated with other legal entities – Business amalgamated with other entities means our company got acquired or merged with a separate company. So, all the current GST returns would be filed under the name of the new entity, and separate GSTIN registration would be obtained, closing the earlier one.
  4. Demerged – Demerger refers to the separation of a larger company into two or smaller organizations, Here GST registration would be canceled for the larger entity as it will cease to exist and new registration would be obtained for newly incorporated entities.
  5. Change in the constitution of business – GST registration obtained would be required to be canceled in case of change in the constitution for example, conversion of a Private Limited company to a Public Limited company or vice versa. 
  6. Taxable person (other than the voluntarily registered person) who is no longer liable to register – Taxpayers who obtained registration to comply with the GST threshold limit of INR 20 lakhs for services and INR 40 lakhs for goods earlier and have a current limit lower than GST threshold can get their GST registration canceled.

What happens when my GST Registration is canceled?

  1. The taxpayer is required to pay the dues or tax for any period prior to the date of cancellation and would be liable to file all the required returns. From the date of cancellation, GST returns are automatically ceased, and no option is given to the taxpayer to file the subsequent period return, however, a taxpayer can still login in GST portal and view his previously filed returns and other information.
  2. Input tax credit availed for stock and capital goods on the day immediately preceding the date of cancellation should be reversed or paid. Since, no output liability will be made in the future, and in GST the ultimate burden of the tax would fall on the end consumer. After closure, the taxpayer becomes the end consumer and is required to reverse or paid the input tax credit already claimed.
  3. In case GST cancellation is made under the CGST Act, 2017 then it would be deemed cancellation would be made under SGST or UTGST Act, 2017.

Can GST Registration be canceled by GST Officer on its own?​

Cancellation of GST registration by the officer at his own discretion is known as suo moto GST cancellation.GST registration obtained by the taxpayer can be canceled by the officer on the following grounds which are written below. 

  1. Taxpayer does not conduct business from the declared place of business – One of the most common reasons for cancellation of GST registration is when the GST officer visits the principal place of business shown in the GST certificate and verified whether an actual business is conducted from the place or not. If the GST officer concludes that the place of business is bogus or no such business exists at the registered place, the GST registration obtained would be canceled by the officer.
  2. Issues invoice/ Bill of Supply of goods and services in violation of the provisions of this act – CGST Act, 2017 provides guidelines on how and when taxable invoices and bills of supply should be issued. Further, the act prescribes the goods and services which are outside the purview of the act, in case a taxpayer is found in violation of the same, the GST registration certificate obtained can be canceled by the officer suo moto or on its own.
  3. Violates the provisions of Section 171 of the CGST Act – Section 171 of the CGST Act, 2017 deals with anti-profiteering rules.  Any reduction in the rate of tax on any supply of goods or services or the benefit of the input tax credit shall be passed on to the recipient by way of a commensurate reduction in prices. In case any entity fails to pass on the benefit by a reduction in prices, GST registration so obtained can be canceled by the officer, if it is proved such an offense is committed.
  4. Violating the provisions of Rule 10A, the taxpayer needs to furnish details of the bank account within 45 days from the grant of the registration certificate or the due date of furnishing return under section 39 whichever is earlier. In case, a taxpayer fails to submit the same within the timeline provided, GST registration can be canceled by the officer. However, practically GST registration is not canceled, accounts get frozen after the timeline and taxpayer cannot file any return or move into another tab unless he furnishes details of their bank account.
  5. GST returns not filed consecutively for six months –  GST registration of a registered person can be canceled if he has not filed returns for continuous 6 months (3 consecutive tax periods in case of a person who opted for composition levy). It is one of the common reasons for the cancellation of GST registration. Further, it leads to hefty penalties and fines if the taxpayer wants to revoke the cancellation or obtain fresh registration.
  6. Avails Input Tax Credit in violation of Section 16 of CGST Act and Rules – If the taxpayer claims Input tax credit which is in violation or not as per provisions as per CGST Act, 2017, GST registration can be canceled by the taxpayer.
  7. Furnishes the details of outward supplies in Form GSTR-1 Under Section 37 for one or more tax periods which is in excess of outward supplies declared by him in his valid return under Section 39 for the said tax periods.
  8.  Violates provision of Rule 86 B
  9. The voluntarily registered person has not commenced the business within 6 months from the date of registration – In case the taxpayer fails to commence after voluntarily obtaining the registration, his GST registration can be canceled by the officer. However, if a taxpayer is regular in filing zero returns, even if the business is not started, GST registration is not canceled by the officer provided there are some other reasons.
  10. Registration was obtained by means of fraud, wilful misstatement, or suppression of facts – In case, GST registration was obtained by the means of fraud, wilful misstatement, or suppression of facts which implies registration was obtained by forging the documents, for the purpose of committing fraud or by concealing material facts from the officer, GST registration can be canceled.
 

What is the fees charged for GST cancellation?

The government does not charge any amount for filing a GST cancellation application. However, the Input tax credit claimed on the stock of unsold goods needs to be reversed. Also, GSTR-10 needs to be filed after approval of the cancellation application. In case, a cancellation application is filed by a professional, fees would be required to be paid to him. Rest no other separate expenditure is there for GST registration cancellation.

How much time is taken for the cancellation of GST registration?

The application can be filed instantly on the GST portal after logging in and an ARN number would be generated. The application then moves to the GST officer who then verifies the particulars filled in the application. If he has no objection, an order would be passed by him for cancellation of the GST registration otherwise a notice would be issued for clarification. This process usually takes 7-15 days or more than that depending upon the state to state.

How to respond to a GST cancellation notice?

GST cancellation notice is issued under Form GST-REG 17 and the response to the notice is filed under GST REG-18 on the GST portal. Application is filed online and the response to the notice is also filed online which is as follows. Move to the Services tab > Registration > Application for Filing Clarifications and enter the ARN number of the application or Notice reference number. Now, attach the clarification prepared and type the preliminary response in the field provided. 

There is a timeline provided for filing the response to the notice, afterwards, the option would not be given on the GST portal to file a response.

Read More: How to download GST cancellation notice?

Read More: How to file response to GST cancellation notice?

What if GST is required after cancellation? Can reapplication be made?

After cancellation of GST registration, a GST revocation application can be filed within 30 days from the date of receiving notice for cancellation on the GST portal. In case GST is suo moto canceled by the officer, the taxpayer needs to rectify the reason for cancellation and then apply for revocation. In case the time limit is expired and no extension has been provided by the government, the only option is left to file an appeal for cancellation of GST registration.

Fresh registration can also be applied and a new GSTIN would be granted to the taxpayer, provided dues and late fees of previous GST registration are paid and all the applicable returns are filed by the taxpayer. 

Read: How to activate suspended GST registration?

Whether pending returns needs to be filed for revocation of cancellation of registration?

If the registration has been canceled on account of the failure of the registered person to furnish returns, no application for revocation of cancellation of registration shall be filed without filing all the required returns along with payment of tax, interest, and late fees if applicable. Afterward, the taxpayer needs to file a revocation application, otherwise, the GST officer would reject the revocation application.

What is the procedure for cancellation of GST Cancellation?

The GST cancellation process can be completed online:

  • Application for cancellation shall be submitted in FORM GST REG-16 within 30 days of the occurrence of the event warranting cancellation.
  • Details of inputs held in stock and of Capital goods held in stock on the date from which cancellation of registration is sought, its liability, details of the payment made against such liability to be disclosed.
  • The proper officer either on his own motion or based on the cancellation application, cancel the registration.
  • The cancellation of registration shall be effective from a date to be determined by the proper officer.

During the pendency of proceeedings relating to cancellation of registration filed by the registered person, the registration may be suspended for such period such manner as may be prescribed.

The registered person shall not make any taxable supply during the suspension period and shall not be required to file any returns under Section 39 of the CGST act.

Frequently asked questions on GST cancellation

GST registration status can be checked in the following ways and the steps for the first way are as follows. It can be checked without login into the GST portal also.

Step 1: The first step is to visit this page https://services.gst.gov.in/services/searchtp  on the GST portal which is the GSTIn search page to get the information about the GST registered person.

Step 2: The second step is to enter the GSTIN number or in case the GSTIN number is not known, enter the PAN provided in the separate option and get to know the GSTIN issued on the PAN. 

Step 3: After entering the GSTIN, details of the registered person would be displayed and the status would be reflected. Normally, these statuses would be reflected.

Active: It will imply GSTIN is active and even cancellation application is not even filed. 

Suspended: This status is reflected when a cancellation application is filed, however, the application hasn’t been approved by the GST officer. It will also reflect the date when the application is filed, and GSTIN is suspended from the date of filing of the cancellation application.

Inactive: This status is reflected when the GST registration cancellation is approved by the GST officer and the GST registration is canceled.

 

Another option would be to visit the ‘My profile’ section after logging into the GST portal and the status of GST registration would be reflected. Further, taxpayers can view the status of applications filed by entering the ARN number.

A registered person who has obtained separate registration for multiple businesses and who intends to transfer, either wholly or partly the unutilized Input tax credit lying in his electronic credit ledger to any newly registered place of business shall within a period of thirty days from obtaining such separate registrations, the details in FORM GST ITC-02A electronically on GST portal, either directly or through a facilitation center notified this behalf by the commissioner.

The input tax will be transferred through FORM GST ITC 02 A in the ratio of the value of assets held by them at the time of registration. Here ‘value of assets’ means the value of the entire assets of the business whether or not input tax credit has been availed thereon.

Yes the new entity here referred to the newly registered person(transferee) on the GST portal has to accept the details so furnished by the registered person(transferor) and after accepting it, input tax credit specified in FORM GST ITC 02 A shall be credited to his electronic credit ledger.

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