GST Cancellation: Voluntary and Compulsory
Voluntary Cancellation#
- Business closure
- Transfer of business
- Turnover below threshold
Compulsory Cancellation#
- No business for 6 months
- Violation of provisions
- Fraud detected
- Non-filing returns for 6 months
Cancellation Process#
- File FORM GST REG-16
- Pay outstanding tax
- Submit final returns
- Get cancellation order
Effects of Cancellation#
- Cannot collect GST
- Cannot claim input credit
- Liability continues for past period
Conclusion#
Proper cancellation process must be followed.