GST registration cancellation (No Business)

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This query is : Resolved

Quick Summary

If you've registered for GST but haven't commenced any business activity, you can apply to cancel your registration. You'll need to file Form GST REG-16, stating that business has not begun. It's essential to file all pending GST returns (GSTR-1 and GSTR-3B) from your registration date up to the cancellation period before applying. Failure to file returns will prevent cancellation, and you may need to reverse any claimed Input Tax Credit (ITC).

mangesh chitnis

mangesh chitnis (Querist)

16 February 2024 An individual took GST registration as Service provider in Oct 2023, but due to some reason he couldn't make any business since date of registration. Now he is willing to cancel this GST registration. What should be the procedure to cancel kindly advise.

Thanks & regards

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)

16 February 2024 After login Go on registration > apply for cancellation of registration and then fill the form and submit.

mangesh chitnis

mangesh chitnis (Querist)

17 February 2024 do he need to file pending GSTR 1 & 3B from Oct 23 to till date?

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)

17 February 2024 You can cancel registration for a period before 30 days. So from Oct 23 till Jan 24, you need to file all returns. Cancellation application will not be entertained if return was not filed.

Aashok Kumar Sharma

Aashok Kumar Sharma

(Expert)

17 August 2025 Here are a few key points to strengthen your explanation:
Registration may be cancelled suo motu if the taxpayer did not start business within six months of registration. The department can initiate cancellation under Section 29.
Taxpayer can proactively cancel by filing Form GST REG-16 with reason "business not commenced"—GST officer then issues Form GST REG-19.
After cancellation, a Final Return (Form GSTR-10) must be filed within three months, regardless of whether any operations occurred.
If any ITC was claimed, it must be reversed—either by paying it back or by paying output tax on remaining stock/assets.

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