VAT & SD Act 2012
Section 9 - Cancellation of VAT registration
(as updated till Finance Ordinance 2025)
(1) If a registered person refrains from carrying on economic activities, he may, within such time, on such conditions and in such manner as may be prescribed, make an application to 1[the concerned Officer] for cancellation of VAT registration.
(2) A registered person, who is no longer required to remain registered, continues to make taxable supplies, may, on such terms and in such manner as may be prescribed, apply to 2[the concerned Officer] for cancellation of registration 3[.]
4[* * *]
(3) 5[The concerned Officer] may, within such time, on such terms and in such manner as may be prescribed, cancel the VAT registration.
(4) If any registered person does not apply for the cancellation of VAT registration under sub-section (1), and if it appears to 6[the concerned Officer], on proper enquiry, that the VAT registration of such person is liable to be cancelled‚ he shall issue an order directing such person to make an application for the cancellation of VAT registration; and if no such application is made in accordance with such order‚ 7[the concerned Officer] may‚ suo moto‚ cancel the VAT registration of such person.
(5) If after cancellation of VAT registration of any person, it appears that he is entitled to be enlisted, 8[the concerned Officer] may enlist him as a turnover taxpayer upon an application or suo moto.
(6) Where the registration of a registered person is cancelled, he shall-
(a) immediately cease to use or tax invoice, 9[****] tax withholding certificate, receipts, credit notes, debit notes, etc; and
(b) return the VAT registration certificate, and all certified copies thereof, to 10[the concerned Officer] within such time as may be prescribed, and pay the arrear taxes, and submit the final VAT return.
11[ (7) Upon obtaining online registration of any person, the concerned official shall-
(a) verify the address, existence and economic activities of the person as mentioned in the application for registration and other information by conducting an lacal inspection;
(b) if the address or existence of the person is not found after verification or if important information is proven to be false, the concerned officer shall 12[take necessary action on such condition and in such manner as may be prescribed to cancel the registration of such person.]
13[(c) ***]
1 The words “the Commissioner” were substituted by section 37(a) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
2 The words “the Commissioner” was substituted by section 37(a) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
3 Full-stop “.” was substituted by section 58(a) of the Finance Act, 2019 (Act No. 10 of 2019) with effect from 01 July 2019.
4 Proviso of section 9(2) “Provided that a person who is registered voluntarily under section 8 shall require remaining registered for at least one year.” was omitted by section 58(a) of the Finance Act, 2019 (Act No. 10 of 2019) with effect from 01 July 2019.
5 The words “the Commissioner” were substituted by section 37(b) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
6 The words “the Commissioner” were substituted by section 37(a) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
7 The words “the Commissioner” were substituted by section 37(b) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
8 The words “the Commissioner” were substituted by section 37(b) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
9 The words “integrated tax invoice and” were omitted by section 37(c) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
10 The words “of the Commissioner” were substituted by section 37(a) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
11 The section 9(7) was inserted by section 58(b) of the Finance Act, 2019 (Act No. 10 of 2019) with effect from 01 July 2019.
12 The words “recommend to the Commissioner; and” were substituted by section 37(c)(i) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
13 Section 9(7)(c) was omitted by section 37(c)(ii) of the Finance Act, 2021 (Act No. 11 of 2021) with effect from 01 July 2021.
Disclaimer: This is the authentic English text of The Value Added Tax and Supplementary Duty Act 2012, as published under SRO No. 440-Law/2025/326-Mushak dated 05 November 2025. In the event of any inconsistency or conflict between the content on this website and the official Government publications or gazette notifications relating to laws, rules, regulations or SROs, the official Government publications and notifications shall prevail.