Cancellation should be processed within prescribed time limit: Delhi HC

According to paragraph 5 of circular no. 69/43/2018-GST dated 26.10.2018 (as amended till date), since the cancellation of registration has no effect on the liability of the taxpayer as stated above, the proper officer should accept all applications for cancellation of registration within 30 days from the date of filing the application, except in the following circumstances:

1. The application in FORM GST REG-16 is incomplete (i.e. where all the relevant particulars, as detailed in para 4 above, have not been entered); or
2. In case of transfer, merger or amalgamation of business, the new entity (in which the applicant proposes to amalgamate or merge) has not been registered with the tax authority before submission of the application for cancellation.

In all cases other than those listed at (a) and (b) above, the application for cancellation of registration should be immediately accepted by the proper officer and the order for cancellation should be issued in FORM GST REG-19.