GST Portal enables GST ITC-02A

The GSTN has enabled the Form GST ITC-02A, wherein a registered person gives a declaration of unutilized ITC transferred for obtaining a separate registration within the same state or union territory. 

Rule 41A of the CGST Rules, 2017 deals with Transfer of credit on obtaining separate registration for multiple places of business within a state or UT.

(1) A registered person who has obtained separate registration for multiple places of business in accordance with the provisions of Rule 11 and who intends to transfer, either wholly or partly, the unutilized input tax credit lying in his electronic credit ledger to any or all of the newly registered places of business, shall furnish within 30 days from obtaining such separate registration, the details in Form GST ITC-02A electronically on the common portal either directly or through facilitation, center notified on this behalf by the commissioner.

Provided that the input tax credit shall be transferred to the newly registered entities in the ratio of the value of assets held by them at the time of registration.

It is to be noted that value of assets means, value of entire assets of the business whether or not input tax credit has been availed thereon.

Details to be furnished in Form GST ITC-02A are as follows:

• Go to www.gst.gov.in: Login with your credentials.
• Then go to Dashboard, then click on to Returns, then click on to ITC Forms.
• The GST ITC Forms page gets displayed. Click the TRANSFER ITC button on the GST ITC-02A tile.

• Enter the GSTIN of Transferee: Newly registered person to whom you want to transfer ITC. This will auto-populate Transferee’s legal name and trade name.
• Amount of ITC to be transferred: Amount available in electronics credit ledger of which amount to be transferred needs to mentioned according to head of tax Central tax, State/UT Tax, Integrated Tax.
• Save the above details and submit with DSC/ EVC.
• Next Transferee needs to login to common portal and click on take action to accept credits transferred.
• To take action and file Form GST ITC-02A as a transferee entity. Click the TAKE ACTION button on the GST ITC-02A tile.

• Select the ARN hyperlink to take action.
• By clicking on ARN, details of ITC which is to be transferred by transferor entity gets displayed. Click either ACCEPT or REJECT based upon the decision that you want to exercise as the transferee entity.

Note : You cannot modify the amount as a transferee entity.

On acceptance by the transferee entity, ITC will be transferred to the transferee entity.

On rejection by the transferee entity, ITC will not be transferred to the transferee entity and the amount mentioned in ‘Form GST ITC-02A’ will be re-credited in the Electronic Credit Ledger of transferor entity.

• Accept/Reject and submit with DSC/ EVC.

Also Read : GST ITC-02A - Frequently Asked Questions

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