9911796707
TMI BlogClarification in respect of transfer of input tax credit in case of death of sole proprietor.X X X X Extracts X X X X X X X X Extracts X X X X ..... ification in respect of transfer of input tax credit in case of death of sole proprietor - Reg. Doubts have been raised whether sub-section (3) of section 18 of the Andhra Pradesh Goods and Services Tax Act, 2017 (hereinafter referred to as APGST Act ) provides for transfer of input tax credit which remains unutilized to the transferee in case of death of the sole proprietor. As per sub-rule (1) of rule 41 of the Andhra Pradesh Goods and Services Rules, 2017 (hereinafter referred to as APGST Rules ), the registered person (transferor of business) can file FORM GST ITC-02 electronically on the common portal along with a request for transfer of unutilized input tax credit lying in his electronic credit ledger to the transferee. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... where a business is transferred to another person for any reasons including death of the proprietor. While filing application in FORM GST REG-01 electronically in the common portal the applicant is required to mention the reason to obtain registration as death of the proprietor . b. Cancellation of registration on account of death of the proprietor : Clause (a) of subsection (1) of section 29 of the APGST Act, allows the legal heirs in case of death of sole proprietor of a business, to file application for cancellation of registration in FORM GST REG-16 electronically on common portal on account of transfer of business for any reason including death of the proprietor. In FORM GST REG-16 , reason for cancellation is req ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transferor in cases of transfer of business due to death of sole proprietor. d. Manner of transfer of credit: As per sub-rule (1) of rule 41 of the APGST Rules, a registered person shall file FORM GST ITC-02 electronically on the common portal with a request for transfer of unutilized input tax credit lying in his electronic credit ledger to the transferee, in the event of sale, merger, de-merger, amalgamation, lease or transfer or change in the ownership of business for any reason. In case of transfer of business on account of death of sole proprietor, the transferee / successor shall file FORM GST ITC-02 in respect of the registration which is required to be cancelled on account of death of the sole proprietor. FORM ..... X X X X Extracts X X X X X X X X Extracts X X X X
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