GST Portal Glitch Prevents Eligible Taxpayers from Withdrawing GST Registration Under Rule 14A sub rule (5) — FORM GST REG-32 Functionality is still not enabled on portal
What Happened?
A significant technical glitch on the GST common portal (operated by Infosys under the GSTN framework) has left compliant taxpayers stranded. Despite fulfilling all statutory conditions under Rule 14A sub rule (5) of the CGST Rules, 2017, eligible taxpayers are unable to file FORM GST REG-32 to withdraw from the option exercised under Rule 14A.
The issue came to light after multiple taxpayers raised complaints on social media, directly tagging CBIC and GSTN Infosys, demanding urgent resolution.
What Does Rule 14A sub rule (5) Say?
For the benefit of all taxpayers, here’s a quick recap of the legal position:
A registered person wishing to withdraw from the option under Rule 14A must file FORM GST REG-32 on the common portal (directly or via a Facilitation Centre), subject to the following conditions:
| Condition | Requirement |
| Application filed before April 1, 2026 | Returns for a minimum of 3 months must be filed |
| Application filed on or after April 1, 2026 | Returns for a minimum of 1 tax period must be filed |
| General requirement | All returns due from the effective date of registration till the application date must be filed |
| Additional safeguard | No proceedings under Section 29 (cancellation of registration) should have been initiated |
In simple terms: If you’ve filed your returns regularly and no cancellation proceedings are pending, you are legally entitled to withdraw.
The Problem
Despite meeting all the above conditions, taxpayers report that the portal simply does not allow the submission of the withdrawal application. The FORM GST REG-32 functionality appears to be non-operational.
“Even after filing 3 consecutive months’ returns, withdrawal from Rule 14A is still not enabled on the GST portal. Genuine taxpayers are suffering due to technical failures of the portal. This needs immediate resolution.” — Taxpayer grievance posted on social media
What Should Affected Taxpayers Do?
Tax experts suggest the following course of action if you are impacted:
- File a Grievance — Use the official GST grievance redressal mechanism on the portal
- Contact Your Jurisdictional Officer — Escalate the matter in writing to your jurisdictional GST authority
- Seek Legal Remedy — If administrative channels fail to resolve the issue, consider approaching the appropriate court or tribunal
Why This Is Urgent
April 1, 2026 marks an important transition date under Rule 14A sub rule (5) — the minimum return-filing requirement reduces from 3 months to just 1 tax period. Stakeholders stress that portal functionality must be aligned with the law well before this deadline to prevent further compliance hardship.
Official Response
As of the date of this update, no official clarification or acknowledgment has been issued by:
- CBIC
- GSTN
- Ministry of Finance
Key Takeaway for Taxpayers
This issue highlights a recurring concern in the GST ecosystem — when the law grants a right, the technology must support it. A portal limitation should never override a statutory entitlement. If you are eligible under Rule 14(5) but unable to file due to this glitch, document your attempts (take screenshots with timestamps) and pursue the grievance channels immediately. This documentation may prove valuable if the matter requires escalation or judicial intervention.
Source from: https://a2ztaxcorp.net/wp-content/uploads/2026/02/GST-Portal-Update-18.09.2026.pdf
