Form 10

This query is : Resolved

tony (Querist)
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08 January 2021 Dear sir,
after the death of proprietor son has received new GST registration. while filing form 10 in the firm of father, what would be status of stock, as it is taken over by son in his new firm. whether form 10 would be filled with nil stock?

Lekhraj sood

Lekhraj sood (Expert)
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08 January 2021 You have to also file ITC02.Then on acceptance ITC will be credited to new GSTIN.

tony

tony (Querist)
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10 January 2021 what would be condition of form 10?

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Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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25 July 2024 In the context of GST registration in India, Form GST REG-10 is used for the cancellation of registration by the legal heir of a deceased taxpayer. Here’s how the situation of stock transfer from the deceased father’s firm to the son’s new firm should be handled when filing Form GST REG-10:

### Situation Overview:
- **Deceased Proprietor:** The father (proprietor) passed away.
- **Son's New Firm:** The son has obtained a new GST registration for his own firm.
- **Transfer of Stock:** The stock from the deceased father's firm has been transferred to the son's new firm.

### Filing Form GST REG-10:
1. **Details of Stock:**
- While filling Form GST REG-10, you will need to provide details about the stock held by the deceased's firm at the time of cancellation.
- Since the stock has been taken over by the son in his new firm, you should declare the stock accurately as per the records of the deceased's firm.

2. **Nil Stock Scenario:**
- If, at the time of cancellation of the deceased's GST registration, there is no stock left in the firm’s possession, you would indicate this in the form.
- However, if the stock has been transferred to the son’s new firm, you need to report the details of the stock transferred rather than declaring nil stock.
- Provide details such as the quantity, value, and description of the stock transferred to the son's new firm.

3. **Legal Heir's Obligations:**
- The legal heir (son, in this case) is responsible for ensuring accurate reporting of all assets and liabilities of the deceased's firm at the time of GST registration cancellation.
- This includes the correct declaration of stock that has been transferred to the son’s new firm.

4. **Documentation:**
- Maintain proper documentation supporting the transfer of stock from the deceased's firm to the son's new firm. This can include invoices, delivery challans, stock transfer forms, etc.
- These documents may be required as supporting evidence while filing Form GST REG-10.

### Conclusion:
- **Status of Stock:** The stock should not be reported as nil in Form GST REG-10 if it has been transferred to the son’s new firm.
- **Reporting:** Provide accurate details of the stock transferred, including quantity, value, and description.
- **Consultation:** It is advisable to consult with a tax professional or a chartered accountant to ensure compliance with GST regulations and proper filing of Form GST REG-10.

By following these steps and ensuring accurate reporting, you can properly handle the transfer of stock from the deceased father's firm to the son's new firm while filing Form GST REG-10 after the proprietor's death.