GST Registration done wrongly

[THYAGARAJAN KALYANASUNDARAM]

Dear Experts,

One of my clients has converted his partnership firm into proprietorship concern under the erstwhile act before implementing of GST Act ( 2 years prior to GST Act). While submitting the documents for provisional registration in the transitional period, we have wrongly registered as a partnership concern instead of proprietorship concern.

On the contrary, the client's have filed his income tax return for the said transactions for the financial year 2017-18 & 2018-19 as a proprietorship concern.

Now, my query is that, what step should I take and resolve this issue. Please kindly help me in this regards.

Thanks in Advance.

[KASTURI SETHI]

Constitution of the firm has been changed. New registration is required. Penalty is imposable for such continued contravention under Section 122 of CGST Act. Now apply for cancellation of the existing registration. Procedure is laid down in Board's Flyer No.2 dated 1.1.18.

Cancellation of Registration in GST

 

[DR.MARIAPPAN GOVINDARAJAN]

You may cancel the registration informing the correct reason.

AI Summary

GST registration error: cancel the incorrect registration and obtain fresh registration; continued contravention may attract penalty.
Incorrect GST registration due to a change in business constitution must be rectified by cancelling the existing registration and obtaining a new registration in the correct form; continued operation under an incorrect registration can attract a penalty under Section 122 of the CGST Act, and the cancellation procedure follows the Board's stated guidance, with cancellation to be effected by informing the correct reason for the change.