When you are discontinuing your business or closing due to any reason, you need to cancel your GSTIN or submit the GST registration. GST registration can be cancelled for few specific reasons such as where the business is discontinued or closed or the proprietor has died, transferred, demerger or the registration has been by misrepresentation, fraud or suppression of facts. Every person whose registration has been cancelled are required to file a final GST return in Form GSTR-10 within three months of the date of cancellation. The person whose GST registration has been cancelled is not allowed to function its business, otherwise he/she is liable to pay heavy penalty. Simple process of GST cancellation is to submit the Form GST REG-21within 30 days from the cancellation date online.
Cancelled GST can be revoked and activated within 30- days from the date of service on which GST registration cancellation order has come. Under CGST act 2017, all the procedure to cancel GST registration has been stated. Tax deductors and collectors and taxpayers with UIN has been restricted to file for GST cancellation. Sometimes, officers voluntarily cancel the GST registration when the taxpayer does not obey the rules and failed to submit the required documents or filings within the prescribed times.