How to Cancel Your ABN in Australia
Closing or changing your business? How to cancel your ABN in Australia, what to finalise first (BAS, tax, GST, PAYG), doing it online, and what happens after.
By Timothy Hirou GaschereauPublished 9 min read
Closing a business is never just flicking a switch: there are registrations to unwind, obligations to finalise, and a specific order to do things in. Cancelling your ABN is the formal signal to the Australian Business Register that your entity has stopped carrying on an enterprise, but do it in the wrong order and you can create headaches that are harder to fix later.
Here is exactly how to cancel your ABN, what to sort out first, and what happens after.
🎯 The essential: You must cancel your ABN if your business has permanently closed, been sold, or changed structure (for example a sole trader becoming a company). Before you cancel, finalise everything: lodge and pay outstanding BAS, lodge your final tax return, finalise payroll, and cancel your GST and PAYG registrations. The fastest way to cancel is online at abr.gov.au using your myID, and it takes effect immediately. Cancelling your ABN does not cancel your business name (a separate ASIC step), and you must keep records for five years. If you might restart the same entity later, you can reactivate the same ABN.
When should you cancel your ABN?
Cancel if your business has genuinely and permanently stopped. In practice that covers three situations: you have stopped trading for good; you have sold the business or changed structure (a buyer needs their own ABN, and a new company entity needs its own, so your old sole trader ABN should be cancelled); or the business never got off the ground and you know you will not carry on an enterprise. Just taking a break? You do not have to cancel. For a temporary pause (parental leave, illness, a slow season) you can leave the ABN dormant. Cancelling is for a genuine, permanent stop.
Sort these out before you cancel
This is the most important part. Cancelling before you have finalised your tax affairs can create complications that are harder to fix afterwards, so work through the sequence in order:
In detail: lodge and pay all outstanding activity statements (GST, PAYG withholding, PAYG instalments); lodge your final income tax return; if you had employees, finalise payroll with your last Single Touch Payroll event and pay out entitlements; cancel your GST registration yourself first (through ATO Online services or on 13 28 66) so the final BAS is correct; cancel PAYG withholding; and pay any outstanding tax debts or set up a payment plan. Our BAS guide helps with that final lodgement. When you cancel the ABN, the ATO also cancels the linked GST and other registrations, but doing GST yourself first keeps the dates clean.
What happens to your business name?
Cancelling your ABN does not cancel your business name. Your business name is a separate registration held with ASIC, not the ABR, so a trading name like "Blue Sky Plumbing" keeps ticking along (and being charged renewal fees) even after your ABN is gone. To cancel it, log in to ASIC Connect and cancel the business name there. One exception: if you want to keep the name for a future restart, you can keep renewing it with ASIC even with no active ABN.
How to cancel your ABN, step by step
There are three ways to cancel, and online is fastest:
- Online via the ABR (recommended): go to abr.gov.au, choose "Cancel your ABN", log in with your myID (linked to your ABN via RAM), select Cancel ABN, confirm the business has ceased, nominate your cancellation date (you can use the actual date you stopped trading), and submit. It takes effect immediately.
- By phone: call the Australian Business Register on 13 92 26 with your ABN, TFN and business details ready.
- Through a registered tax or BAS agent: they can cancel it as part of wrapping up your final lodgements, which is the easiest option if you are already working with one.
Once cancelled, your ABN shows as "Cancelled" on ABN Lookup with the cancellation date recorded; it does not disappear from the register.
After cancellation: what you must and must not do
| Do | Do not |
|---|---|
| Keep all business records for at least 5 years | Quote the cancelled ABN on any invoice or document |
| Close or convert your business bank account | Assume the ATO can no longer audit past periods |
| Notify suppliers, clients and relevant agencies | Forget to cancel your ASIC business name |
From the cancellation date you must not use the ABN on invoices, quotes or contracts, and your customers cannot claim GST credits on invoices showing a cancelled ABN. Keep records (invoices, bank statements, contracts, employee and tax records) for at least five years, because the ATO can still audit past periods after cancellation.
Restarting the same business later
If you later restart the same business as the same entity (say, the same individual sole trader picking up where you left off), you can reactivate the same ABN rather than applying for a new one, and the same number is reissued. Our guide on reactivating a cancelled ABN walks through it. One distinction: a completely new business under a different structure (a new company) needs a new ABN. You cannot reuse a sole trader ABN for a company.
Frequently asked questions
Do I have to cancel my ABN when I stop trading?
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Yes. The ABR requires you to cancel your ABN if your business has permanently closed, been sold, or is no longer operating in Australia. Keeping an ABN active when you are no longer carrying on an enterprise is not permitted. If you are only pausing temporarily, you can keep the ABN dormant without cancelling.
Can I cancel my ABN online without a tax agent?
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Yes. You can cancel your ABN yourself at abr.gov.au using your myID, and it takes only a few minutes. You do not need a tax agent to cancel the ABN itself, though an agent can be very helpful for finalising your outstanding lodgements first.
What happens to my GST registration when I cancel my ABN?
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When you cancel your ABN, the ATO also cancels your GST registration (and any luxury car tax, wine equalisation tax and fuel tax credit registrations). Even so, it is best practice to cancel GST separately first through ATO Online services or by calling 13 28 66, so your final BAS is lodged correctly and the effective date is right.
Can I cancel my ABN before lodging my final tax return?
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Technically the ABN can be cancelled first, but it is strongly recommended you finalise all outstanding lodgements and pay any tax debts before cancelling. Cancelling does not remove your obligation to lodge and pay; the ATO can still pursue outstanding amounts and audit past periods afterwards.
Does cancelling my ABN cancel my business name?
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No. Your business name is registered separately with ASIC and must be cancelled separately through ASIC Connect. If you do not cancel it, ASIC will keep sending renewal notices and charging renewal fees, even with no active ABN.
How long does ABN cancellation take?
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If you cancel online via abr.gov.au, the cancellation takes effect immediately, you get a confirmation straight away, and ABN Lookup updates to show the ABN as Cancelled. Cancelling by phone may take a little longer to process.
What if I want to restart the same business later?
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If you restart as the same entity (for example, the same individual sole trader) you can apply to reactivate your original ABN rather than getting a new one, and the same number is reissued. If you start under a different structure, such as a new company, you will need a brand-new ABN for that entity.
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Sources
- Australian Business Register, cancel your ABN
- ATO, cancelling your GST registration
- business.gov.au, close your business
- ASIC Connect, cancel a business name
General information only, not tax or legal advice. It does not take your circumstances into account. ABN, ATO and ASIC processes can change, so verify current requirements with the ABR or a registered tax agent before acting.
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General information only. This article is educational and does not constitute personal financial advice. It does not account for your circumstances. Consider your own situation and seek advice from a licensed adviser before acting. Read our full disclaimer.
Timothy Hirou Gaschereau
Founder of Snowball Invest, not a financial adviser.
I write about what I'm learning myself, because nobody ever taught us how to take control of our own money. It's a skill, not a mystery, and it's never too late to learn it. The best day to start was yesterday, the second best is today.
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