Cancellation of GST Registration

Situations under which the taxpayer request for GST cancellation:

1. Where the business has been shut down
2. Where the business has been transferred fully owing to death of proprietor or it has been amalgamated, merged or demerged or otherwise disposed- In all such cases, the transferor will cancel registration if it ceases to exist
3. Change in constitution of business namely conversion of partnership to private limited co. or private limited co. to public limited co.
4. Where the business entity is no longer liable for GST registration. For example: turnover falling below threshold limit or goods sold by entity becoming exempted

An application for cancellation for GST registration is to be made in Form GST REG-16 on GST portal. The following details must be given in Form GST REG-16:-

• Contact address which includes mobile number and email id
• Grounds of cancellation and desired date of cancellation
• Details of registration of the entity if the existing unit merged, amalgamated or transferred i.e. GSTIN of transferee entity
• Details of inputs, semi finished, finished goods held in stock on the date on which cancellation of registration is applied & liability on such inputs 
• Details of Stock of capital goods/plant & machinery on the date of application
• Set off liability arising above either through electronic credit ledger or electronic cash ledger- payment can be made even during submission of final return in GSTR-10
• Particulars of the latest return filed by taxpayer along with the ARN of the return

The proper officer shall issue order for cancellation in FORM GST REG-19 within 30 days from the date of application. The cancellation will be effective from a date determined and notified by the officer.

Final Return: After cancellation of registration, taxpayer is required to file a final GST return in Form GSTR-10 within 3 months of the date of cancellation.