Cancellation or suspension of registration
Commencement. 22nd June, 2017 for sections 1, 2, 3, 4, 5, 10, 22, 23, 24, 25, 26, 27, 28, 29, 30, 139, 146 and 164 1st July, 2017 for sections 6 to 9, 11 to 21, 31 to 41, 42 (except proviso to sub-section (9) of S 42), 43 (except proviso to subsection (9) of S 43), 44 to 50, 53 to 138, 140 to 163, 165 to 174.
Section 29 of the Central Goods and Services Tax Act, 2017 deals with cancellation or suspension of registration. The proper officer may, either on his own motion or on an application filed by the registered person or by his legal heirs, in case of death of such person, cancel the registration, in such manner and within such period as may be prescribed, having regard to the circumstances where,-- (a) the busine The Act was enacted on 12 Apr 2017.
29. Cancellation 1[or suspension] of registration--- (1) The proper officer may, either on his own motion or on an application filed by the registered person or by his legal heirs, in case of death of such person, cancel the registration, in such manner and within such period as may be prescribed, having regard to the circumstances where,--
(a) the business has been discontinued, transferred fully for any reason including death of the proprietor, amalgamated with other legal entity, demerged or otherwise disposed of; or
(b) there is any change in the constitution of the business; or
1[(c) the taxable person is no longer liable to be registered under section 22 or section 24 or intends to optout of the registration voluntarily made under sub-section (3) of section 25:]
3[Provided that during pendency of the proceedings relating to cancellation of registration filed by the registered person, the registration may be suspended for such period and in such manner as may be prescribed.]
(2) The proper officer may cancel the registration of a person from such date, including any retrospective date, as he may deem fit, where,---
(a) a registered person has contravened such provisions of the Act or the rules made thereunder as may be prescribed; or
(b) a person paying tax under section 10 has not furnished 4[the return for a financial year beyond three months from the due date of furnishing the said return]; or
(c) any registered person, other than a person specified in clause (b), has not furnished returns for 5[such continuous tax period as may be prescribed]; or
(d) any person who has taken voluntary registration under sub-section (3) of section 25 has not commenced business within six months from the date of registration; or
(e) registration has been obtained by means of fraud, wilful misstatement or suppression of facts:
Provided that the proper officer shall not cancel the registration without giving the person an opportunity of being heard.
3[Provided further that during pendency of the proceedings relating to cancellation of registration, the proper officer may suspend the registration for such period and in such manner as may be prescribed.]
(3) The cancellation of registration under this section shall not affect the liability of the person to pay tax and other dues under this Act or to discharge any obligation under this Act or the rules made thereunder for any period prior to the date of cancellation whether or not such tax and other dues are determined before or after the date of cancellation.
(4) The cancellation of registration under the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act, as the case may be, shall be deemed to be a cancellation of registration under this Act.
(5) Every registered person whose registration is cancelled shall pay an amount, by way of debit in the electronic credit ledger or electronic cash ledger, equivalent to the credit of input tax in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock or capital goods or plant and machinery on the day immediately preceding the date of such cancellation or the output tax payable on such goods, whichever is higher, calculated in such manner as may be prescribed:
Provided that in case of capital goods or plant and machinery, the taxable person shall pay an amount equal to the input tax credit taken on the said capital goods or plant and machinery, reduced by such percentage points as may be prescribed or the tax on the transaction value of such capital goods or plant and machinery under section 15, whichever is higher.
(6) The amount payable under sub-section (5) shall be calculated in such manner as may be prescribed.
Section 29, The Central Goods and Services Tax Act, 2017 (Act 12 of 2017).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Hanumant Baburao Ekwade v. Union of India
Court's Decision & Legal Precedent
DATE VERIFIED Final Order 17.06.2026 (order-2.pdf body dated 17 June 2026; portal lists 18.06.2026): DB followed Nirakar — s.29(2)(e) cancellation founded on SCN lacking fraud/wilful-misstatement particulars set aside; registration restored; liberty for fresh SCN within 60 days.
On this section: Reaffirms that s.29 cancellation for alleged fraud/wilful misstatement requires a particularised SCN and a reasoned order; otherwise registration must be restored.
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Nirakar Ramchandra Pradhan v. Union of India
Court's Decision & Legal Precedent
DATE VERIFIED Final Order 11.09.2023 (order-6.pdf): DB quashed cancellation founded on a defective SCN alleging fraud/wilful misstatement without particulars and a reasonless cancellation order; liberty to issue a fresh SCN if so advised.
On this section: s.29 cancellation power cannot rest on a non-speaking SCN or reasonless cancellation — natural justice and particulars are mandatory before cancellation for fraud/wilful misstatement.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Judgments citing this section
These may be obiter dicta or a precedent, for you to study. These are the judgments where this section is quoted.
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… M. K. Boro, learned Standing counsel for respondent Nos. 1 & 2. This petition under Article 226 of the Constitution of India, the petitioner has challenged or otherwise of the order dated 04.12.2023 in Form GST REG-19 which was allegedly issued without due process under Section 29 of the Central Goods and Services Tax Act, 2017. Perused the petition and the documents placed on record. The learned counsel for the respondents submits that the Lease Deed, which is annexed with the petition as Annexure-3, has already been cancelled and the same is under challenge before the Court of learned …
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… Reply be filed within three weeks. Also heard on prayer for stay. Learned counsel for the petitioner would submit that registration of the petitioner has been placed under suspension in exercise of powers conferred under Section 29 of the Central Goods and Services Tax Act, 2017 (hereinafter referred to 'the Act of 2017') read with Rule 21 of the Central Goods and Services Tax Rules, 2017 (hereinafter referred to 'the Rules of 2017') on an absolutely nonspeaking and vague show cause notice, which discloses …
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… The appeal has been dismissed solely on the ground of limitation. Since the very foundation of entire proceedings i.e. show cause notice and the order of cancellation are vitiated, we are of the view that no purpose would be served in relegating the petitioner to the stage of an appeal. 9. In terms of Section 29(2) of the Central Goods and Services Tax Act, 2017, the proper officer may cancel the GST registration of a person from such date including any retrospective date, as he may deem fit if the circumstances set out in the said sub-section are satisfied. The registration cannot be cancelled with retrospective effect …
Made under this section, and citing it
2 instruments state that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Another 15 instruments name this provision in its title or its text without being made under it.
- Circular No. 134/4/2020-GST dated 23.03.2020Circular 2020
- Central Goods and Services Tax Rules-Part-A dated 09.10.2019Rule 2019
- Circular No. 129/48/2019-GST dated 24.12.2019Circular 2019
- Circular No. 88/07/2019-GST dated 01.02.2019Circular 2019
- Circular No. 95/14/2019-GST dated 28.03.2019Circular 2019
- Circular No. 96/15/2019-GST dated 28.03.2019Circular 2019
- Circular No. 99/18/2019-GST dated 23.04.2019Circular 2019
- Notification No. 03/2019 – Central Tax dated 29.01.2019Notification 2019
- Notification No. 16/2019 – Central Tax dated 29.03.2019Notification 2019
- Circular No. 69/43/2018-GST dated 26.10.2018Circular 2018
- Notification No. 39/2018 Central Tax dated 04.09.2018Notification 2018
- Circular No.1/1/2017-GST dated 26.06.2017Circular 2017
- Notification No. 03/2017 - Central Tax dated 19.06.2017Notification 2017
- Notification No. 10/2017 – Central Tax dated 28.06.2017Notification 2017
- Notification No. 17/2017 – Central Tax dated 27.07.2017Notification 2017
Questions about Section 29
What have the courts held on Section 29 of the Central Goods and Services Tax Act?
Hanumant Baburao Ekwade v. Union of India (17 Jun 2026) is the leading judgment on this section among those set out below: Reaffirms that s.29 cancellation for alleged fraud/wilful misstatement requires a particularised SCN and a reasoned order; otherwise registration must be restored. Another 1 judgment on this section is set out below. They run from 2023 to 2026.
How do I find court cases under Section 29 of the Central Goods and Services Tax Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: CGST Act 29, section 29 CGST Act, section 29 of the Central Goods and Services Tax Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 2 reported judgments on this section are set out on this page, beginning with Hanumant Baburao Ekwade v. Union of India (17 Jun 2026).
What should I read with Section 29 of the Central Goods and Services Tax Act, and has it changed?
Its own text turns on section 10 (Composition levy), section 15 (Value of taxable supply), section 22 (Persons liable for registration), section 24 (Compulsory registration in certain cases), and on 1 further provision, so none of them can safely be read on its own. 4 other provisions in this corpus refer back to it. The rules and notifications made under it are where it actually bites, and there are 2: most recently ROO No. 05/2019-Central Tax dated 23.04.2019 (2019), then Notification No. 01/2017 – Central Tax dated 19.06.2017 (2017).
When was Section 29 of the Central Goods and Services Tax Act enacted?
Section 29 of the Central Goods and Services Tax Act, cited as CGST Act 29, was enacted on 12 Apr 2017 as Act 12 of 2017. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions5109 words
- 142. Miscellaneous transitional provisions1966 words
- 140. Transitional arrangements for input tax credit1883 words
- 54. Refund of tax1858 words
- 110. President and Members of Appellate Tribunal, their qualification, appointment, conditions of service, etc1647 words
- 74A. Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised for any reason pertaining to Financial Year 2024-25 onward1299 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.