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Goods and Service TaxArticle·4 April 2026

Delhi Tightens ITC Scrutiny in Cancellation Cases

By J the App

Executive Summary

Delhi GST authorities have mandated enhanced supervisory control over registration cancellation applications involving high-value Input Tax Credit (ITC). 

Cases where ITC exceeds ₹2.5 crore will now require prior approval from zonal authorities, signalling a move toward tighter compliance and risk-based scrutiny.


The Department of Trade and Taxes, Delhi, has issued an order assigning powers under the Delhi GST Act to regulate cancellation of registration filed by taxpayers.

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