You apply in Form GST REG-16 within 30 days of the event that makes the registration unnecessary, such as closure, transfer of the business or a change of structure. We check that cancellation is the right route, work out the payment on stock and capital goods, clear pending returns, file the application and, for regular taxpayers, the final return GSTR-10.
A registered person can ask for the registration to be cancelled by applying in Form GST REG-16 on the GST portal under Rule 20 of the CGST Rules. The portal asks for one of six reasons: change in constitution leading to a change of permanent account number, the person has ceased to be liable to pay tax, discontinuance or closure of business, others, transfer of the business (amalgamation, merger, demerger, sale, lease or otherwise), or death of the sole proprietor.
You can cancel / You stay registered / Another route
We did not find a portal fee for Form GST REG-16. We confirm that on the portal before we file.
The order date prevails over this estimate.
What you pay: The higher of the input tax credit on the stock and capital goods you hold, or the tax on those goods, by debit of the credit or cash ledger (section 29(5)). Stock is taken as on the day before the cancellation date.
The legal heir files Form GST REG-16 with the reason "death of sole proprietor", the date of death and a supporting document such as the death certificate. The business cannot carry on under the dead person's registration. The heir who continues the business registers afresh and can move credit on form ITC-02. The order of these steps is disputed in secondary sources, so we confirm it with you (confirm).
GST registration certificate
No tax invoices after you apply: So no e-invoice can be generated. Stop invoicing from the date you apply.
Route check: Cancellation, revocation, notice reply or composition withdrawal.
Item, Amount, Note
Within 30 days of the event that makes the registration unnecessary (Rule 20). The Circular 69/43/2018-GST tells officers not to reject an application only for delay where the event date is hard to fix. For the death of a sole proprietor the limit is said not to apply (confirm).
No. The cancellation cannot take effect earlier than the day you apply. You state the date you want, and the order takes effect from that date.
You pay the higher of the credit on the stock and capital goods you hold, or the tax on them. We work it out from your stock list and show it before filing.
They should be filed. Officers are told to accept an application unless the form is incomplete or the new owner is not yet registered, but the portal accepts quickly when all returns are filed and dues paid (confirm). Late fee and interest apply by law, and we confirm the amount before filing.
Regular taxpayers file GSTR-10 within 3 months of the cancellation date or the order date, whichever is later. Composition taxpayers, input service distributors, tax deductors and collectors file none. If a regular taxpayer misses it, the officer sends notice GSTR-3A and can assess the tax.
No. The one-year lock on voluntary registrants was removed from 23 January 2018.
Only while its status on the portal is "Pending for Processing".
No. Liability for tax and dues for any earlier period stays, whether determined before or after the cancellation (section 29(3)).
You cannot cancel again. The route is revocation, and its time limit runs from service of the order. See our GST revocation page.
No. StampMitra is a filing assistance platform. We prepare and file the application and the returns. The decision is the officer's, and for a dispute take advice from a CA or lawyer.