The revised rule requires the cancellation application in FORM GST REG-16 to be filed within 30 days of the event warranting cancellation, except in the case of death of a sole proprietor, and mandates filing of all applicable returns, including CMP-08, before applying. Where GSTR-1 or IFF has been furnished for a tax period, the corresponding GSTR-3B must also be filed before submission of the application.

The amendment provides for suspension of registration during cancellation proceedings and electronic cancellation through the common portal for eligible taxpayers, subject to prescribed conditions, including the specified ₹2.5 lakh monthly output tax liability threshold for supplies to registered persons. Applications involving pending returns, unpaid dues or other issues are referred to the proper officer, with defined timelines for scrutiny, issuance of notices, replies and disposal. Deemed approval is provided where the officer fails to act within the prescribed 15-day period at the relevant stage. The rule also introduces a procedure, through Forms GST REG-34 to REG-37, for changing the effective date of cancellation to an earlier date, with the date once changed being final and not subject to further change.

During suspension, the registered person cannot make taxable supplies or issue tax invoices charging tax and is not required to furnish returns under Section 39. Where suspension arises from the specified compliance defaults under sub-rule (2), it is deemed revoked upon rectification within the prescribed 30-day period. Suspension initiated by the proper officer is deemed revoked upon completion of cancellation proceedings under Rule 22. Revocation takes effect retrospectively from the date on which suspension commenced. The rule further provides that, following revocation, the prescribed provisions of Section 31(3)(a) and Section 40 apply to supplies made during the suspension period.

The revised Rule 22 of the CGST Rules, 2017 prescribes the procedure for cancellation of registration where the proper officer has reasons to believe that cancellation is warranted under Section 29(2). The officer must issue a show-cause notice in FORM GST REG-17, allowing the taxpayer seven working days to respond in FORM GST REG-18. If the reply is satisfactory, proceedings are dropped through FORM GST REG-20; otherwise, the officer must pass a cancellation order in FORM GST REG-19 within the prescribed 30-day period, determine the effective date of cancellation and direct payment of outstanding tax, interest, penalty and other amounts payable under Section 29.

A significant change is the provision for deemed electronic cancellation where registration has been suspended under Rule 21A(2) due to specified return-filing defaults or non-compliance with Rule 10A. If the taxpayer fails to furnish pending returns or comply with Rule 10A within 30 days from suspension, the registration shall be deemed cancelled electronically through the common portal, with intimation in FORM GST REG-38. Further, where the proper officer considers that the effective date of cancellation should be an earlier date, the procedure prescribed under Rule 20 for changing the effective date will apply mutatis mutandis.

a system-based mechanism for revocation of registration deemed cancelled electronically under Rule 22(5). The affected registered person may apply for revocation in FORM GST REG-21 within 180 days from the date of cancellation. Where cancellation arose from non-filing of returns, all pending returns must be furnished and the tax, interest, penalty and late fee payable must be discharged; where cancellation arose from failure to furnish bank account details under Rule 10A, the requisite details must be furnished.

Upon furnishing all pending returns or complying with Rule 10A, as applicable, the application shall be deemed approved, and the common portal shall electronically revoke the cancellation and communicate the order in FORM GST REG-22. The taxpayer must also furnish all returns falling due between the date of the cancellation order and the date of the revocation order within 30 days from the date of the revocation order. The amendment introduces a simplified, compliance-driven route for restoration of registration cancelled electronically due to specified defaults.

Further, the word “common” is omitted from sub-rule (1A). These amendments modify the terminology and provisions governing the distribution of input tax credit by an Input Service Distributor (ISD), aligning the relevant rule with the applicable ISD credit distribution framework under GST.

Amendment in Rule 54(1A) of the CGST Rules, 2017 to revise the terminology governing documents issued by an Input Service Distributor (ISD). The expression “credit of common input services” is replaced with “credit in respect of input services attributable to one or more distinct persons”, while the term “common” is replaced with “such” in the relevant sub-clause.

Further, the reference to “common services” is replaced with “services whose credit is sought to be transferred to the Input Service Distributor.” These changes align the documentation requirements with the ISD mechanism for distributing input tax credit attributable to distinct persons, without restricting the terminology to services described as common.

Amend Rule 60(2) of the CGST Rules, 2017 by providing that, in addition to the auto-drafted statement in FORM GSTR-2A, the relevant details shall also be made available to an Input Service Distributor (ISD) in FORM GSTR-6A.

The amendment aligns the statement-related provisions with the ISD framework and facilitates access to relevant inward-supply information for credit distribution and reconciliation.

The provisions of Rule 19, governing amendment of registration particulars, shall apply mutatis mutandis to such applications. The amendment establishes a formal procedure for updating GST practitioner enrolment details through the common portal.

The amendment also introduces a formal objection mechanism under which the registered person may file an objection in FORM GST DRC-27, contending that the debit of the amount was or is not liable to be restricted. After granting a reasonable opportunity of being heard, the proper officer must pass an electronic order in FORM GST DRC-28, either permitting debit of the amount through Part A or rejecting the objection through Part B. The amendment provides a defined duration for restrictions on utilisation of credit and a prescribed process for taxpayers to challenge such restrictions.

From 1 December 2026, the amendments expand the documentation requirements for refund applications, including invoice details, ITC particulars and supporting export documents in specified cases. Additional declarations are prescribed regarding prosecution for tax evasion exceeding ₹2.5 crore during the preceding five years, while a declaration relating to eligibility and continued use of capital goods will be required from 1 April 2027 where the refund claim includes ITC on capital goods.

The amendments also revise the order in which the electronic credit ledger must be debited for refund claims: IGST first, followed by CGST and SGST/UTGST equally, with any shortfall in one of the latter ledgers debited from the other. For zero-rated supplies, the existing valuation limitation based on 1.5 times the value of like domestically supplied goods is omitted from 1 November 2026. From 1 April 2027, the refund computation will also account for capital goods ITC attributable to the relevant period, calculated on a 60-month basis after considering applicable ITC reversals.

A significant change concerns refunds under the inverted duty structure (IDS). The revised formula includes ITC availed on inputs and eligible input services, as well as capital goods ITC attributable to the relevant period. Input services qualify for this computation only where ITC has been availed on or after 1 November 2026, while the capital-goods mechanism applies from 1 April 2027. These amendments materially change refund documentation and the calculation of eligible unutilised ITC, requiring taxpayers to review refund statements, supporting records and capital-goods ITC calculations before filing claims.

The time limit under Section 54(7) for processing the refund claim will be calculated from the original date of filing. The amendment aims to reduce delays at the initial scrutiny stage and provide greater certainty to taxpayers regarding the commencement of the refund-processing timeline.

The amendment also revises sub-rule (3) to provide that a payment order in FORM GST RFD-05 for the amount sanctioned under sub-rule (2) may be made available through the common portal. This replaces the earlier mandatory wording requiring the proper officer to issue the payment order. The changes aim to accelerate provisional refund processing through automated risk assessment and simplify the associated payment-order procedure.

Further, substituted Rule 92(4) provides that where the proper officer is satisfied, or the common portal determines, that the refund is payable under Section 54(8), an order in FORM GST RFD-06 shall be made and a payment order in FORM GST RFD-05 shall be issued. The sanctioned refund shall be electronically credited to an eligible bank account mentioned in the applicant’s registration particulars and specified in the refund application, on the basis of a consolidated payment advice. The amendment facilitates system-driven refund processing and streamlines the sanction and electronic disbursement of eligible refunds.

The amendment formally recognises metro railways within the relevant e-way bill provisions, extending the applicable procedural framework to goods transported through metro railway networks.

Further, Rule 159(5) is amended to expressly provide that, where the Commissioner is not satisfied with the submission made by the person filing the objection, the application may be rejected in Part B of FORM GST DRC-22. The amendment formalises the documentation of provisional attachment orders and the rejection of objections, thereby bringing greater procedural clarity to the process.

FORM GST REG-01 has been substituted to incorporate the options for registration under Rules 14A and 14B of the CGST Rules, 2017. The revised form includes separate declarations for applicants opting for these registration routes and additional fields for the GSTIN and legal name of the e-commerce operator, details of its warehouse, and the applicant’s physical presence in another State, wherever applicable.

The revised form also updates the information and documentation requirements relating to business constitution, principal place of business, bank accounts, goods and services supplied, and authorised representatives. The instructions specify the conditions and procedural requirements for registration under Rule 14B, including e-commerce operator consent, Aadhaar authentication and document verification, and consequences of cancellation or non-compliance with prescribed amendment requirements.

A new paragraph expressly provides that, where the applicant wishes to be heard personally or through an authorised representative, an opportunity of personal hearing is granted, specifying the date and time of appearance. The amendment revises the wording of the notice and expressly provides for a personal hearing opportunity while retaining the existing provision dealing with non-response.

The new form also provides for rejection of a cancellation application where registration under Rule 14B has already been cancelled. FORM GST REG-05A is system-generated and does not require a physical signature, thereby standardising communication of rejection orders for the specified applications.

With effect from 1 December 2026, the instruction concerning changes to the principal place of business or professional address has been amended. Such changes will generally require approval of the proper officer, except changes relating to the principal place of business of taxpayers registered under Rule 14A who have not opted to withdraw under Rule 14A(5). The amendment thus introduces a specific exception to the officer-approval requirement for this category of taxpayers.

The revised Tables 10 and 11 require details of stock, inputs contained in semi-finished or finished goods, and capital goods/plant and machinery on which ITC has been availed, along with the corresponding ITC reversal or tax payable and payment details. Where invoices are unavailable, stock value is to be estimated under Rule 44(3) based on prevailing market prices; capital goods are valued after reducing 1/60th for each month or part thereof, assuming a useful life of five years. The cancellation date cannot precede the filing of returns for the last tax period. Specified categories of taxpayers, including ISDs, composition taxpayers, non-resident taxable persons and persons liable to deduct or collect tax at source, are exempt from furnishing Tables 10 and 11.

Further, the instructions regarding filing FORM GSTR-10 and pending returns have been qualified by inserting the words “where applicable”. Accordingly, the requirement to furnish a final return within three months from the date of the cancellation order and the requirement to furnish pending returns are expressly made subject to their applicability in the particular case. The amendments update the cancellation order format to reflect the relevant grounds and clarify the scope of post-cancellation compliance requirements.

Second, the existing reference to “clause (b) or clause (c) of sub-section (2)” has been replaced with “clause (e), clause (f) and clause (g) of sub-section (3)”. This revises the statutory provisions referred to in FORM GST REG-20 in line with the amended framework under the CGST Rules and Act.

Upon acceptance of the application, the order confirms restoration of the taxpayer’s registration. The form also provides for the reference number, date, GSTIN/UIN, taxpayer details, application reference number (ARN), and particulars of the proper officer. An order issued under Rule 23A is system-generated and does not require the officer’s signature, whereas the prescribed form retains the signature details for orders issued under Rule 23(2). The substitution aligns the revocation order format with the separate procedures prescribed under Rules 23 and 23A.

Upon such default, the registration stands suspended from the date of communication. The taxpayer is required to furnish all pending returns or valid bank account details, as applicable, on the common portal within 30 days from receipt of the notice. The suspension will be lifted upon compliance within the stipulated period. However, if the taxpayer fails to comply within 30 days from the date of suspension, the registration may be cancelled electronically by the common portal under Rule 22(5). The substituted form is system-generated and does not require the signature of the issuing authority.

Following acceptance, the amended certificate of registration will be available on the taxpayer’s dashboard for download. The order contains particulars of the issuing officer, including name, designation, jurisdiction, date and place. The amendment updates the prescribed format to cover withdrawal from the registration options under both Rules 14A and 14B.

The notice requires the registered person to submit a reply within 30 days from the date of service and provides an opportunity for a personal hearing before the proper officer. It also warns that failure to submit a reply within the prescribed period or attend the hearing may result in an ex parte decision based on available records and merits. The form provides for dropdown-based selection of the specific reason and reference to supporting documents containing case-specific details, thereby formalising the notice procedure for changing the effective date of cancellation.

The form also contains a verification requiring the authorised signatory to affirm that the information furnished is true and correct to the best of their knowledge and belief and that nothing has been concealed. The prescribed format formalises the taxpayer’s response mechanism in proceedings concerning a change in the effective date of cancellation, enabling the proper officer to consider the reply and supporting documents before deciding the matter.

The form also provides for deemed dropping of proceedings where no order is issued within 60 days from the date of issuance of the show cause notice, in accordance with Rule 20(19). In such cases, a system-generated order records that the proceedings for changing the effective date of cancellation are deemed to have been dropped and does not require the signature of the issuing authority. The amendment formalises both officer-ordered and system-generated closure of such proceedings.

The order specifies the revised effective date of cancellation and may refer to supporting documents containing case-specific details. It also reminds the registered person liable to furnish returns under Section 39(1) of the CGST Act to file FORM GSTR-10 within three months from the date of the order, and requires the filing of all pending returns. The form further clarifies that cancellation does not extinguish liability for tax, other dues or statutory obligations relating to any period before the effective date of cancellation, whether determined before or after that date. The prescribed format formalises the procedure for changing the effective date of cancellation through a reasoned order by the proper officer.

Further, new instructions 5A, 5B and 5C have been inserted under the heading “Instructions”. These require composition taxpayers to report outward supplies of goods, including exempt supplies, separately in Table 1; outward supplies of services, including exempt supplies but excluding services taxable under Section 9(5) through an ECO, in Table 1(a); and services supplied through an ECO where the ECO is liable to pay tax under Section 9(5), separately in Table 1(b). Although composition taxpayers are not required to discharge tax liability on the latter category of supplies, such supplies must be included in the calculation of their annual aggregate turnover for compliance and reporting purposes.

The instructions accompanying the form have also been revised. In serial number 6, the words “in the same tax period in which the inward supplies have been received” have been omitted from the existing reference following the words “its Units”. Further, serial numbers 9 and 10, along with their corresponding entries, have been omitted. These amendments simplify the GSTR-6 reporting format and remove the specified table references and instructions.

Second, the description under “DETAILS OF SUPPLIES AUTO-DRAFTED FORM” has been revised. The existing wording, “Auto-drafted from GSTR-1, GSTR-1A, GSTR-5 and GSTR-7”, has been substituted with “Auto-drafted from GSTR-1, GSTR-1A and GSTR-5”. Accordingly, GSTR-7 has been removed from the list of returns identified as sources for auto-drafting details in FORM GSTR-6A.

The substituted table requires the following particulars: invoice/document number and date, value, amount paid to the deductee liable for TDS, and the amount of TDS deducted, separately under Integrated Tax, Central Tax and State/UT Tax. The amendment revises the reporting format in the TDS certificate to facilitate separate disclosure of the relevant tax components.

Similarly, the references in paragraph 5 against Tables 6B, 6C and 6D, and in paragraph 8 against Tables 15A, 15B, 15C and 15D; 15E, 15F and 15G; 16A, 16B, 16C; and 17 and 18, have been amended to cover FY 2025-26 onwards. The amendments extend the stated year-wise applicability of the relevant GSTR-9 instructions beyond FY 2024-25, ensuring their continued application for subsequent financial years.

Similarly, in paragraph 6, the reference against Table 14 has been amended in the same manner. Accordingly, the specified instructions for these tables will continue to apply for FY 2025-26 and subsequent financial years, rather than being limited to FY 2023-24 and FY 2024-25.

The substituted form also revises the supporting statements and documentation for different refund categories. Notably, it introduces Statement 10 for refund of eligible ITC attributable to capital goods in cases of zero-rated supplies without payment of tax and inverted duty structure. The accompanying instructions clarify the treatment of eligible input tax credit for inverted duty structure refunds, including the relevant date from which ITC on inputs and input services is considered, and prescribe supporting statements and documents for the respective refund categories. The revised form is intended to standardise refund claims, improve invoice-level reporting and align the application process with the amended provisions of Rule 89.

The substituted FORM introduces Annexure A and Annexure B.

Annexure A identifies the underlying proceedings, including return mismatch under Rule 88D (FORM GST DRC-01C), scrutiny (FORM GST ASMT-10), audit (FORM GST ADT-02/ADT-04), erroneous refund (FORM GST RFD-06) and investigation (FORM GST INS-02/INS-03), along with the reference number of any relevant earlier intimation, notice, report or order, where applicable.

Annexure B specifies 22 grounds of liability, covering issues such as misclassification, concessional notification benefits, reverse charge, composition levy, valuation, time and nature of supply, interest, late fee, ITC, erroneous refunds, TDS/TCS, return mismatches, penalties, e-way bills, transitional provisions, restrictions on the Electronic Credit Ledger and incorrect claims of zero-rating benefits.

The amendment enhances the traceability of demand orders by ensuring that the relevant SCN particulars are expressly captured in FORM GST DRC-07, thereby facilitating identification and correlation of the adjudication order with the underlying show cause proceedings.

Further, Part B is inserted after the existing “Copy to (person)” section to prescribe the format for rejecting an application seeking restoration of provisionally attached property or a bank account. The new part requires details of the application filed in FORM GST DRC-22A, the applicant’s identification and address, and the reasons for rejecting the objection, along with supporting documents, where applicable. The amendment provides a prescribed format for communicating rejection of restoration applications and distinguishes such decisions from the original provisional attachment order.

The restriction under the prescribed order shall remain in force until the earlier of one year from the date of issue or the date on which the proper officer, being satisfied that the conditions for restricting debit no longer exist, permits debit through a subsequent order. The form also informs the registered person of the right to file an objection in FORM GST DRC-27 under Rule 86A. The amendment formalises the order and objection process for restrictions on the Electronic Credit Ledger, with the decision on the objection to be communicated through FORM GST DRC-28.

The amendment establishes a formal mechanism for taxpayers to challenge restrictions imposed on their Electronic Credit Ledger. The objection filed in FORM GST DRC-27 is intended to be considered by the proper officer in accordance with Rule 86A, with the subsequent decision communicated through FORM GST DRC-28, which provides for restoration of the debit facility if the objection is allowed or continuation of the restriction, with reasons, if the objection is rejected.

FORM GST DRC-28 provides for two outcomes: Part A, where the objection is allowed and debit of the Electronic Credit Ledger is restored from the specified date; and Part B, where the objection is rejected with reasons, resulting in continuation of the restriction imposed under FORM GST DRC-26. The amendment formalises the disposal of objections against credit-ledger restrictions and provides a prescribed documentary record of the decision taken by the competent authority.

The revised list introduces two additional codes: RCMDOM for domestic supplies received from unregistered persons on which tax is payable under the reverse charge mechanism, and RCMIMP for import of services. It also expressly includes SEZWPA for supplies to SEZ with payment of tax for authorised operations and SEZWPNA for supplies to SEZ with payment of tax for non-authorised operations, alongside the existing codes for B2B, B2C, SEZ, exports and deemed exports. The amendment aligns the e-invoice schema with the expanded reporting requirements for reverse charge supplies and the specified categories of SEZ transactions.