Under the Goods and Services Tax (GST) law, Section 45 of the CGST Act, 2017 mandates that every registered person whose GST registration has been cancelled or surrendered must file a Final Return in Form GSTR-10.
This return ensures that the taxpayer discloses any liabilities, stock held, and input tax credit (ITC) to be reversed (if any) at the time of closing their business or surrendering registration.
Purpose: GSTR-10 is not a regular return (like GSTR-1 or GSTR-3B). It is filed only once, when the registration is cancelled.
Objective of Filing GSTR-10
The purpose of the Final Return is to:
- Declare details of inputs, semi-finished goods, and finished goods held in stock at the time of registration cancellation.
- Reverse any unutilized Input Tax Credit (ITC) on such stock.
- Disclose any outstanding liabilities.
- Ensure full tax compliance and closure of the GST profile.
Who Needs to File GSTR-10 (Final Return)?
- Any taxpayer whose registration is cancelled either:
- Voluntarily (e.g., discontinuation of business), or
- By cancellation order from tax authorities.
Exception: A person registered as Input Service Distributor (ISD), Non-Resident Taxable Person, TDS Deductor, or TCS Collector under GST is not required to file GSTR-10.
Due Date for Filing GSTR-10
As per Rule 81 of the CGST Rules, 2017:
GSTR-10 must be filed within 3 months from the date of cancellation or date of cancellation order, whichever is later.
| Event | Date |
| Effective date of cancellation | 1st April 2025 |
| Order issued on | 20th April 2025 |
| ✅ GSTR-10 Due Date | 20th July 2025 |
ITC Reversal on Closing Stock
As per Section 29(5) of the CGST Act:
When registration is cancelled, the taxpayer must reverse the ITC on closing stock of:
- Inputs
- Semi-finished goods
- Finished goods
- Capital goods (if applicable)
This reversal is calculated and shown in Table 8 of GSTR-10, and tax is paid accordingly.
Mode of Filing
- Filed electronically on the GST Portal: https://www.gst.gov.in
- Can also be submitted via a GST Facilitation Centre notified by the Commissioner.
- Can be filed using:
- DSC (Digital Signature Certificate), or
- EVC (Electronic Verification Code)
Consequences of Non-Filing of GSTR-10
| Default | Consequences |
| Delay in filing | Late fee of ₹100 under CGST + ₹100 under SGST = ₹200/day (max ₹5,000 each) |
| Continued non-compliance | Liability remains outstanding, legal notices may be issued |
| Cannot apply for revocation | If GSTR-10 not filed, revocation of cancellation request may be denied |
| No final closure in GST records | System will show GSTIN as “cancelled but return pending” |