If an officer has justification to cancel a GST registration, the officer can initiate the cancellation. The official’s process of revoking the GST begins with issuing a Show Cause Notice as GST REG-17.

A GST agent can start the cancellation process if any of the following events occur:

• If the taxpayer has consistently failed to file her/his GST return.
• An assessor voluntarily registered for his/her GST but did not start a business within 6 months.
• A registered taxpayer has violated one or more sections of the GST Act or its regulations.
• A GST registration is obtained through fraud or malicious misrepresentation.
• To avoid or exploit the input tax credit, the taxpayer provides goods or services without an invoice or issues an invoice without the provision of goods or services.

With the cancellation of a GST officer, the officer will notify the taxpayer that his/her GST registration may be ended before the cancellation. Taxpayers will be given a reasonable opportunity to be heard before their GST registration is removed. Notice from the GST Commissioner to the taxpayer will be sent on form GST REG-17 with specific reasons for cancelling GST registration. Additionally, the notice provides a time and date for a hearing, if any, so the taxpayer can respond.

If the taxpayer responds to the notice and the proper authority is satisfied with the response, he or she may dismiss the case and issue an order in Form GST REG-20. If he is not satisfied, he may issue a Form GST REG-19 order cancelling the GST registration.