Procedure for Cancellation Of GST Registration in India by Swaritadvisors

What are the results of the cancellation of GST registration in India?

Following are some of the results of the cancellation of GST registration in India:

•    The mere result is that the Taxpayer does not require paying GST after the cancellation of registration.

•    GST registration is mandatory for certain businesses. If they cheat or they still continue their businesses after the cancellation of GST Registration they have to pay heavy penalties under the GST law.

Why cancellation of GST registration in India is required?

Many of the times, due to some circumstances person needs to shut down their business in those cases they have to cancel their GST number. Cancellation of GST registration in India straightforwardly means that taxpayer will be no more GST registered person. Now he does not require collecting or paying the GST. Here are some of the reasons to cancel their GST registration:

•    The business has been terminated

•    They have fully transferred their business or have been demerged or disposed of.

•    Due to change in the constitution of the respective business.

Steps to cancel your GST registration online:

You have to follow the below given steps to accomplish the process of cancellation of GST registration in India:

•    Firstly, log in to GST portal

•    Click the option of ‘cancellation of provisional registration’

•    Then the cancellation page will open. On the page, you will see that name of the business and your GSTIN are given automatically.

•    Moving ahead, fill up the reason for GST registration cancellation.

•    Once you have given the reason, they will ask ‘you have you issued any tax invoices during this month’.

•    At the end kindly fill up the details of authorized place and signatures. Then sign off with EVC with whom you are in partnership. Companies and Limited Liability Partnership must obligatory sign with DSC.

Note: only the taxpayers who have not issued any tax invoice can avail the above-given services. In other conditions, taxpayers have to file GST REG-16 FORM.

How to form the GST REG-16 form for the cancellation of GST registration in India?

Below given method is for the taxpayers who cannot go for the above-given procedure. It is to be performed by the legal heirs of the taxpayers:

•    Make an application for cancellation of GST in FORM GST REG 16.

•    Include the following details in FORM GST REG16:

o    Inputs detail of semi-finished and finished goods held on a date on which cancellation of registration is applied.

o    Liability thereon

o    Payment details

•    The proper officer will issue an order within 30 days from the respective date of application.

•    The Officer will determine the date of cancellation and will notify the same to the taxable person.

Cancellation by tax officer:

Some of the times GST registration can be canceled by the tax officer. There can be following reasons to it:

•    The taxpayer has violated the anti-profiteering provisions.

•    A taxpayer does not conduct any kind of business from the declared place or business.

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