ITC claimed in Legal Heir GSTN but the invoice was reflecting in Deceased proprietor GSTN

[Bhavik Sankhla]

That there was death of the proprietor in the month of December 2021. That the New Registration was taken in the name of the proprietor's son being the legal heir and business was transfered to son. That Old registration in the name of father was cancelled wef December 2021.

But the issue was in the month of February 2021.The supplier uploaded the invoice in the old GSTN of deceased father. The ITC was claimed in Legal Heir Son's New GSTN, but the ITC was reflecting GSTR 2A of deceased father's old GSTN.

The Assessee asked supplier to correct the GSTN in the GSTR-1 in February 2021 itself but the supplier was government department did not made the necessary amendments in his GSTR-1.

Department has issued Notice and asking to reverse ITC.

Is the ITC claimed in the legal heir's New GSTN liable to be reversed ?

Thanks in Advance.

AI Summary

Input tax credit mismatch threatens reversal when invoices remain under deceased proprietor's GSTIN despite transfer to legal heir.
A proprietor died and the son obtained a new GST registration as legal heir while the old registration was cancelled. An invoice for supplies was uploaded by the supplier under the deceased proprietor's GSTIN and was not amended despite request. The legal heir claimed Input Tax Credit in the new GST registration, but the invoice appears in GSTR 2A of the deceased proprietor's GSTIN. The department issued a notice seeking reversal of ITC because of the GSTIN mismatch.