GST Registration and Cancellation

GST Registration is mandatory for businesses in India with an annual turnover exceeding ₹40 lakh for goods and ₹20 lakh for services (lower limits apply for special category states). It is also compulsory for businesses involved in interstate supply, e-commerce, import/export, and for certain categories regardless of turnover. Registration is done through the GST portal, where businesses receive a 15-digit GSTIN (Goods and Services Tax Identification Number). This unique number is used for all GST-related compliances such as return filing, input tax credit, and tax payments.

The registration process requires submission of PAN, Aadhaar, business incorporation certificate, address proof, bank account details, and photographs. Once approved, GST registration provides legal recognition, input tax credit benefits, interstate trade facility, and enhanced business credibility.

GST Cancellation may be initiated by the taxpayer, the tax officer, or through voluntary surrender. Common reasons include business closure, turnover falling below the threshold limit, change in business structure (like merger or transfer), or incorrect registration obtained. Cancellation ensures that the taxpayer is no longer liable to pay GST or file returns, provided all dues and pending returns are cleared.

To apply for cancellation, taxpayers must file an application in Form GST REG-16 on the GST portal, mentioning reasons and supporting documents. Upon verification, the registration is canceled, and a final return in Form GSTR-10 must be filed.

In conclusion, GST Registration ensures compliance and business benefits, while timely cancellation avoids unnecessary liabilities. Both processes are vital for smooth tax administration and business operations.