Steps Involved in Cancellation of GST Registration

When it comes to cancellation of GST registration, surprisingly it is not a tough task. Easily facilitated by the Indian government through its GST Portal, a user has to follow a few simple steps to cancel the GST registration. Especially in the case of migrated taxpayers, the cancellation of GST registration becomes a mandate. Business that record a turnover of less than 20 lakh are exempted from paying GST and business units above this exemption limit are mandated to register under the GST.

Businesses that are registered for GST often time wish to cancel the registration due to various circumstances. Such cancellation process can be executed by the taxpayer itself or by any governing authority. The latest GSTN portal also carry the feature and facility of cancelling the GST by the businesses. Still this cancelling feature is restricted to 3 different entities through with the cancellation request can be initiated. These entities are:

  • The taxpayer himself
  • Any GST officer
  • A legal heir of the taxpayer

There can be many circumstances wherein such cancellation of GST registration is initiated. Such instances can be death of the taxpayer, shutting down of business etc. Important point to note is that such cancellation request can be done voluntarily but after one or more years from the date of GST registration.

Migrated Taxpayers: Steps to Cancellation of GSTIN

Anyone who is registered under erstwhile indirect tax laws is obligated to adapt to GST model. But as per some exceptions to rule, many taxpayers were not been liable to be registered under GST. This case stands true for those wherein threshold under VAT was INR 5 lakh and Service Tax was INR 10 lakh. For GST registration, the same limit is extended to INR 20 lakh. But businesses that are into making inter-state supplies are mandated to undergo GST registration without any exception. It is only after a detailed enquiry that an office cancels the GST registration.

If as a migrated taxpayer, you are performing cancellation of GST registration, you need to follow the below listed steps:

Step 1: First step is to log in to the GST Portal and click on the option of ‘Cancellation of Provisional Registration’

Step 2: In the next step, the Cancellation page opens. The applicant will see his GSTIN and name of business appearing on this window automatically.

Step 3: Enter a valid a reason for cancellation. Fill details of authorized signatories and their place.

Step 4: In the last step, sign off with EVC in case you are proprietor or operating as a partnership firm. Signing with DSC is mandatory for LLPs & Companies.

Steps of Cancellation of GST Registration by Other than Migrated Taxpayer

So the question arises as to why does a taxpayer wants to cancel his registration? Answer can be numerous instances such as:

  • Discontinuation of business
  • Business has been transferred fully, undergone merger, demerged or disposed of.
  • The new company from amalgamation/ demerger has to get registered.
  • There is a change in nature of business in its further continuation

Reasons for Cancellation by Tax Officer

There is another possibility of GST cancellation by the officer. The events in which such an action can be taken include:

  • When a tax payer does not conduct business from the declared place of business
  • When the tax payer is accounted for violation of business such as issuing invoice or bill without supply of goods/services
  • When the taxpayer conducts violation of anti-profiteering provisions such as holding back the benefit of ITC to customers

For any help regarding cancellation of GST registration, you can get in touch with

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