itc-02

ITC / Input 913 views 9 replies
Hlo All,
In case of death of assessee whether ITC-02 of GST is mandatory to be filed for transfer of stock by his legal heir even if there is no ITC or This is the case of sole proprietorship
Replies (9)

Yes, a legal heir can transfer the ITC to a new entity in case of death of sole proprietor. In such a case, legal heir needs to get a new registration under GST and transfer the ITC through FORM GST ITC-02 to this new entity.

and if there is no ITC or negiligle amt of ITC then whether ITC-02 needs to be filed

It is the safer side for transfer stock even if no ITC on stock

that means ITC-02 needs to be filed
yes you should file it
how can the sole proprietorship registration be cancelled in case of his death, who will sign as in GST portal sign of deceased person is registered
1. In case of death of sole proprietor, Legal heir has to visit office of the Proper Officer (Jurisdiction Officer) and submit the Death Certificate of the sole proprietor along with the Succession Certificate before the Proper Officer as documentary evidence.

2. Proper Officer will add legal heir as the authorized signatory on the GST Portal.

In case the successor is minor, he cannot be added as an authorized signatory. In such cases, minor successor needs to be represented by his legal/ natural / testamentary (appointed by will) guardian. The legal guardian needs to be appointed or nominated by the competent authority (Normally District Judge). Legal guardian can take decisions on behalf of minor legal heir/ successor and he can also appoint authorized signatory for this purpose.

3. Legal heir has to apply for new registration.

4. Once the new registration is approved, Legal heir has to apply for the transfer of ITC by filing FORM GST ITC–02 to new entity. However, there is no restriction on filing of ITC-02 pre or post cancellation. It is an independent form and has no relation with cancellation of the sole proprietorship firm.

5. Username and Temporary password reset will be communicated to the e-mail address of the newly added authorized signatory as entered by the Tax Officer in your jurisdiction. Next, the newly added authorized signatory need to login to the GST Portalavailable at https://www.gst.gov.in/ and login using the First time login link. He/ She will be forced to change your username and password after first time login with the Username and Temporary password that was emailed on the newly added e-mail address of the Primary Authorized Signatory.

6. Legal heir or his/ her authorized signatory has to submit the application for cancellation and select the “Death of Proprietor” as reason of Cancellation of Registration and attach sufficient proof.
mam kindly provide me the rules or section in which the whole above content is written..
section 29 of CGST Act 2017


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