REG-17 is issued under Section 29(2), Rule 22(1). This guide explains the legal basis, common grounds, procedural steps, and how GST Notice AI drafts your reply in under 60 seconds with relevant citations and defences.
Form REG-17 is a Show Cause Notice for cancellation of GST registration issued under Section 29(2) of the CGST Act read with Rule 22(1). The Proper Officer directs the taxpayer to show cause why the registration should not be cancelled for the reasons stated in the notice. Reply must be filed in Form REG-18 within 7 working days.
Legal Section
Section 29(2), Rule 22(1)
Response Window
7 Working Days
Reply Deadline
7 Working Days
Risk Level
High — Loss of Registration & ITC
Reply Form
Form REG-18
Issuing Authority
Proper Officer
Non-Filing of Returns (6+ months)
Under Section 29(2)(c), non-filing of GSTR-3B for a continuous period of six months (or two tax periods for composition) is a ground for cancellation. This is the most common trigger.
Voluntary Non-Commencement of Business
Person registered under Section 25(3) who fails to commence business within six months of registration — Section 29(2)(b).
Contravention of Rules / Fraudulent Registration
Obtained registration by fraud, wilful misstatement, or suppression of facts — Section 29(2)(e). Also covers serious violations like issuing invoices without supply.
Change in Constitution Not Intimated
Section 29(1)(a) — failure to intimate change in constitution (e.g., partnership to company) within the prescribed time can trigger REG-17.
Business Closed or Transferred
Where business has been discontinued, transferred, amalgamated, or no longer liable to be registered — Section 29(1)(b) read with Rule 20.
Login to the GST portal and open the REG-17 notice. Download the PDF and note the exact reason(s) cited and date of issue — the 7 working-day timer starts from the issue date shown on the portal.
Reconcile returns: if cancellation is for non-filing, file all pending GSTR-3B and GSTR-1 returns with applicable late fees and interest before filing the reply. This single action often saves the registration.
Draft Form REG-18 reply with (a) reason for the default, (b) steps taken to regularise (filings done, payment made), (c) request to withdraw the notice under Rule 22(4).
Upload supporting documents — proof of filings, challans paid, business continuity evidence (rent agreement, utility bills, bank statements, audited financials).
Attend personal hearing if granted. The officer may adjourn up to 3 times under Section 75(5). Take the CA / authorised representative with full paper record.
Order in Form REG-19 (cancellation) or REG-20 (dropped). If cancelled, file revocation under Section 30 via Form REG-21 within 30 days (extendable to 90 days by Commissioner, 180 by Appellate Authority).
Auto-Filing Gap Audit
Lists every missing GSTR-3B / GSTR-1 for the taxpayer's GSTIN, computes total late fee and interest, and sequences the filings in the correct order.
REG-18 Reply Generator
Drafts a REG-18 reply citing Section 29 sub-clauses, Rule 22 provisions, and the taxpayer's remedial actions with a clean professional tone.
Revocation Tracker
If cancellation happens, tracks the 30-day REG-21 revocation window with reminders and auto-drafts the revocation application.
Upload your REG-17 notice. AI drafts the reply, computes deadlines, and cites every applicable section and rule.
No credit card required. Analyse your first 3 notices free.