Can GST Number be surrendered?

Can GST Number be surrendered?

A casual or regular registered person with a GST registration can surrender the GSTIN by filing a return in the prescribed form of GSTR-10. This return is called a final return. Most persons or entities who supply goods or services in India have a GST registration number.

CGST Rule for Cancellation of registration:

(1) Where the proper officer has reasons to believe that the registration of a person is liable to be cancelled under section 29, he shall issue a notice to such person in FORM GST REG-17, requiring him to show cause, within a period of seven working days from the date of the service of such notice, as to why his registration shall not be cancelled.

(2) The reply to the show cause notice issued under sub-rule (1) shall be furnished in FORM REG–18 within the period specified in the said sub-rule.

(3)Where a person who has submitted an application for cancellation of his registration is no longer liable to be registered or his registration is liable to be cancelled, the proper officer shall issue an order in FORM GST REG-19, within a period of thirty days from the date of application submitted under sub-rule (1) of rule 20 or, as the case may be, the date of the reply to the show cause issued under sub-rule (1), cancel the registration, with effect from a date to be determined by him and notify the taxable person, directing him to pay arrears of any tax, interest or penalty including the amount liable to be paid under sub-section (5) of section 29.

(4) Where the reply furnished under sub-rule (2) is found to be satisfactory, the proper officer shall drop the proceedings and pass an order in FORM GST REG –20.

(5) The provisions of sub-rule (3) shall, mutatis mutandis, apply to the legal heirs of a deceased proprietor, as if the application had been submitted by the proprietor himself. 



SURRENDER OR CANCELLATION OF GST REGISTRATION

GST Registration can be surrender or cancelled through the following three ways:

1. GST surrender By the registered person – A registered person can apply for cancellation of GST Registration by himself.

  • If your turnover is less than ₹20 lacs
  • If your business has been discontinued
  • Death of the Proprietor in case of sole proprietorship
  • If the business is no longer liable to GST (like you have taken registration for the sake you trade inter-state but later government relaxed the norms that GST registration not mandatory for inter-state trade)
  • Because you are shutting down your business or profession.
  • Or any other issue.

2. By GST Officer – GST officer can cancel the registration if the organization falls under following conditions: –

  • If the Organization has violated any law against GST.
  • A composition registered person has not filed tax for three consecutive years.
  • If the registration process has been done through fraud methods.
  • If the registered company has not generated any business from the last six months after registration for GST.
  • Or any other issue.

3. GST surrender By Legal Hirer – A legal hirer can apply for cancellation of GST Registration after Death of the Proprietor in case of sole proprietorship

Steps for Cancellation of Provisional GST Registration:

If you want to surrender GST Registration then you must follow the following steps: –

Step 1

Log in to the GST Portal and click the Cancellation of Provisional Registration.

Step 2

  • The Cancellation page opens.
  • Your GSTIN and name of business will show automatically.
  • You are required to give a reason for cancellation.

Step 3

You will be asked if you have issued any tax invoices during the month.

Step 4

Simply fill up the details of authorized signatories, place.

Step 5

Finally, Sign off with EVC with you are a proprietorship or a partnership.

LLPs & Companies must mandatorily sign with DSC. 

If the taxpayer has issued any tax invoice then form GST REG – 16 needs to be filed.

  • You must log into GST Portal and click on the cancellation.
  • Fill form GST REG – 16 applications for cancellation of GST Registration and provide details like liability date, details of payment, inputs, and capital goods held in stock.
  • The person must reply in Form REG – 18 within 7 days after the notice asking the cause for the cancellation of registration.
  • After verification, the order will be passed in Form GST REG – 20.
  • If the cancellation is confirmed then an officer will issue the order under Form GST REG – 19.

If one cancels CGST then SGST will automatically be cancelled and vice versa.

In case you need assistance or any query about the cancellation of GST Registration, please leave a massage in comment box.