Clarification in respect of transfer of input tax credit in case of death of sole proprietor.

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....a, H.P 4. The Asstt. Commissioner of State Taxes and Excise, Incharge Distt. Kinnour, H.P Dated Shimla-9 2nd Aug., 2019 Madam/Sir, Subject: Clarification in respect of transfer of input tax credit in case of death of sole proprietor. Doubts have been raised whether sub-section (3) of section 18 of the Himachal Goods and Services Tax Act, 2017 (hereinafter referred to as 'HPGST 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 Himachal Pradesh Goods and Services Rules, 2017 (hereinafter referred to as 'HPGST Rules'), the registered person (transferor of business) can file FORM GST ITC-02 electronically on the common po....

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....registered with effect from the date of such transfer or succession, 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 sub-section (1) of section 29 of the HPGST 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. I....