Input tax credit availability on registration, composition change, or taxable conversion; credits transferable with prescribed adjustments. Input tax credit is available for inputs and inputs contained in stock immediately before registration, grant of registration, cessation of composition liability, or conversion of exempt supplies to taxable status, with credits on capital goods reduced by prescribed percentage points. Claims are barred after one year from the tax invoice. Unutilised electronic credit may be transferred on change of business constitution. A person who earlier availed credit and later opts for composition or becomes wholly exempt must pay an amount equivalent to related credits, reduced by prescribed percentages, by debiting electronic ledgers; remaining credit then lapses. Supply of capital goods requires repayment equal to the adjusted credit or tax on transaction value, whichever is higher.