Cancellation of Registration Certificate under GST

Key Points related to Cancellation of Registration Certificate under GST(Section 29 of CGST Act):

1. A registered person other than the person who are liable to deduct TDS or TCS or the person registered as UIN can apply for cancellation of REGISTRATION CERTIFICATE through GST FORM REG 16.

2. Registered person has to give all the details related to stock, capital goods on the date from which cancellation of REGISTRATION CERTIFICATE is sought.

3. A registered person has to apply for cancellation of REGISTRATION CERTIFICATE within 30 days from the occurrence of event warranting the cancellation.

4. Now a registered person who has taken the registration voluntarily can apply for cancellation of registration certificate even if one year has not been expired from the date when he had taken the registration under GST Act. Earlier it was not allowed.

5. There are certain cases due to which registration granted to a person are liable to be cancelled. These cases are as follows:

• Does not conduct any business from the declared place of business; or
• Issues invoice or bill without supply of goods or services in violation of the provisions of this Act, or the rules made there under; or
• Violates the provisions of section 171(Anti Profiteering Measure) of the Act or the rules made there under

6. If a proper office has reason to believe that a registration is liable to be cancelled, then the said officer shall issue the order FORM GST REG 17.

7. A show cause notice has been issued by the proper officer for which the registered person has to reply within 7 days in FORM GST REG 18.

8. The proper officer shall issue the order within 30 days from the submission of application or submission of reply demanded by the proper officer under FORM GST REG 19.

9. If the reply submitted by the registered person is found satisfactory, then proceeding for cancellation is dropped and issue an order under FORM GST REG 20.

10. Legal heirs of the decreased registered person can also apply for cancellation of registration.

11. A registered person can file FORM GST REG 21 for revocation of an order of cancellation of registration passed by an proper officer on his own motion within 30 days from date of passing the order.

12. Proper officer may after scrutinize the application, revoke the order of cancellation of registration within 30 days after record the reasons in writing for revocation by passing an order under FORM GST REG 22.

13. The proper officer may reject the application for revocation by passing the FORM GST REG 05 and record the reasons in writing for rejection of application.

Before rejecting the application, a show cause notice has been issued under FORM GST REG 23 against which a reply has to file by the registered person within 7 days from the date of show cause notice has been issued in FORM GST REG 24.

14. After receiving the reply from registered person in FORM GST REG 24, the proper officer has to dispose the application within 30 days.

(Author can be reached at info@raagconsultants.com)