GST cancellation applications now go through return checks on the portal

GSTN’s 1 November 2026 advisory explains how the GST portal now processes voluntary cancellation applications in Form REG-16. Before submission, the portal checks that applicable returns due on or before the proposed cancellation date have been filed. Where GSTR-1 or IFF has been furnished for a period, the corresponding GSTR-3B must also be furnished.

An application can remain pending while returns for the relevant period are still within their filing window. If they are filed on time, qualifying composition taxpayers, non-resident taxable persons, OIDAR taxpayers and input service distributors can receive electronic approval. For regular, casual and SEZ taxpayers, electronic approval can proceed if output tax liability is ₹2.5 lakh or less in each tax period.

If any of those periods exceeds ₹2.5 lakh, the portal can require GSTR-10, where applicable, within three days of the identified pending-return due date or, if there is no such stage, within three days of the cancellation application. Missing the applicable return timeline routes the application to an officer. If the officer cancels the registration, check the final-return deadline under the applicable provisions and cancellation order.