Hello Everyone, I hope you all are doing great. Here I am back with a common questioned being asked by many of us regarding cancellation and revocation process of GSTIN.

In this article we will understand the detail information about cancellation of GSTIN and procedure to revoke cancelled GSTIN.

What is cancellation of GSTIN Registration :- 

Cancellation of GSTIN refers to a registered GSTIN will not be under GST and GSTIN is invalid for further use, dealer can not collect any GST amount on invoice.
Once GSTIN is canceled registered dealer is not allowed to pay and GST liability as well.

In case of GSTIN is cancelled then Tax Payer is not liable to pay GST anymore.
Tax Payer is not allowed to collect GST amount on invoice
·        In such case if GST is still being collected then business should be liable to heavy penalty and fines.

Who can cancel the GST registration?

GSTIN can be cancelled by any of the following
·        *Tax Payer himself
·        *GST Tax Officer
·         *Legal Matter (Court Order)




    
       Cancellation of GSTIN by Tax Payers :-
       *A Tax Payer can cancelled his GSTIN in following cases
·         *When he intends to discontinue business
·         *When turnover does not cross specified limit
·         *Any other reason if any
·         
      Other cases where there is Voluntary GST registration as per law and cannot cancel GSTIN before completion of 1 year.
In such case where Tax Payer intend cancel GSTIN he should submit FORM-29 at GSTIN Portal once  GST Officer find all satisfactory ground then can be proceed and order for cancellation of GSTIN

Following are steps to cancel GSTIN

Step 1- Login with your credential on GSTIN portal
Go to >>  Services >> At bottom you can see Application for cancellation of Registration




Step 2- You need to fill the details as below >> You need to mention proper reason for cancellation and after completing form you need to verify it by OTP or digital signature



Please note that once application submitted can not be revised.

Cancellation by Government GST Tax Officer :-  Tax officer can cancelled GSTIN on following grounds

·        * If GST Return not filled more then 6 Months
·         *Dealer does not operate business from declared place of business
·         *Issue invoice without movement of Goods or rendering services (Violation of Compliances)
·         *Anti-profiteering provisions where dealer does not passing benefit of ITC to end consumer.
 *Procedure of cancellation of GSTIN by Tax officer
·         
I     If any above ground has been noted by Tax officer then office issue a show cause notice to Tax   Payer FORM REG-17
·        
    
      Tax payers must reply within 7 Days after receiving show cause notice FORM REG-18
·       In case of proper reply by Tax Payer officer will drop the proceeding to cancel GSTIN by
      passing an order in FORM REG-20
·       In case of reason is not at satisfactory level then order of cancellation will be issue in FORM 
      REG-19 by officer within 30 days after reply of show cause notice.



Revocation of cancelled GSTIN
Revocation of GSTIN can be done only in case where GSTIN is being cancelled by GST Tax officer within 30 days after passing order of cancellation
If Tax Payers intend to revoke cancelled GSTIN he can simply do it by following procedure

·       
         Tax Payers need to submit REG-21 on GSTIN portal by login with credential.
·       It can be submitted within 30 days
·      You need to mention and give satisfactory reason for revocation of GSTIN
·      If Tax officer found proper reason can issue FORM REG-22 within 30 days after receipt of 
      application
·         
      
      Tax officer can reject application if ground is not proper and satisfactory. Rejection can be
      communicated in FORM-5.
·      Before rejecting application, officer should issue show cause notice within 30 days in FORM
      REG-24

      In case of GSTIN is being cancelled due to failure of GST Return. In such case before
      application of revocation Tax Payer should clear all his due and file pending GST Return. Once
      all liabilities and dues are clear then application can be filed by Tax Payer online by following
      above process.

       I hope you have understand the concept in most easy and simple way. Do not forget to share   your feedback on gstintally786@gmail.com