(1) Every registered dealer who discontinues his business, shall submit an application in writing together with final return alongwith proof of payment of tax on the entire stocks which he was holding at the time of discontinuation of business, alongwith his registration certificate to the Registering Authority to cancel the registration and such application shall be made within three months of such event.

(2) Where a registered dealer dies and his 'legal heir/heirs' don't wish to continue the business, they shall submit an application for cancellation of registration alongwith final return, registration certificates and proof of payment of all taxes, to the Registering Authority within 30 days from the date of the death of such dealer. The Registering Authority after satisfying himself that the 'stocks held' by the deceased have suffered tax and that the legal heir/heirs have paid such tax, shall cancel the certificate of registration.