Shifting business from one state to other - GST ITC

[Textron India]

Dear Sir / Madam,

In the case of shifting the business (Service Industry) from one state to another what is the impact of unutilized Input Tax Credit? please note, same legal entity.

AI Summary

Guidance on transferring unutilized Input Tax Credit when moving a business between states using ITC-02 form. A query was raised regarding the impact of unutilized Input Tax Credit (ITC) when shifting a service industry business from one state to another under the same legal entity. One response advised registering in the new state and transferring the business, which is not liable to GST, by filing ITC-02 to transfer ITC. Another response sought clarification on transferring ITC from Tamil Nadu to Mumbai, specifically regarding existing CGST and SGST credits, and requested guidance on using ITC-02 for the transfer.