Section 29 - Cancellation of registration.

Cancellation of registration permits retrospective de-registration and requires adjustment of input tax credit upon cancellation.

Cancellation may be ordered by the proper officer upon specified changes in business circumstances or statutory contraventions, including non-filing of returns and fraud, with an opportunity to be heard; the officer may set an effective date of cancellation, including retrospectively. Cancellation does not absolve prior tax liabilities, and the cancelled person must pay an amount equivalent to input tax credits on inputs, inventory and capital goods or the output tax on such goods, calculated as prescribed, with a prescribed adjustment for capital goods and plant and machinery.