Rule 41 of CGST Rules -Transfer of credit on sale, merger, amalgamation, lease or transfer of abusiness

Rule 41 of CGST Rules -Transfer of credit on sale, merger, amalgamation, lease or transfer of abusiness

(updated as on 15.11.2017)

(1) A registered person shall, in the event of sale, merger, de-merger,amalgamation, lease or transfer or change in the ownership of business for any reason,furnish the details of sale, merger, de-merger, amalgamation, lease or transfer of business, inFORM GST ITC-02, electronically on the common portal along with a request for transferof unutilized input tax credit lying in his electronic credit ledger to the transferee: Provided that in the case of demerger, the input tax credit shall be apportioned in theratio of the value of assets of the new units as specified in the demerger scheme. (2) The transferor shall also submit a copy of a certificate issued by a practicing charteredaccountant or cost accountant certifying that the sale, merger, de-merger, amalgamation,lease or transfer of business has been done with a specific provision for the transfer ofliabilities. (3) The transferee shall, on the common portal, accept the details so furnished by thetransferor and, upon such acceptance, the un-utilized credit specified in FORM GST ITC-02 shall be credited to his electronic credit ledger. (4) The inputs and capital goods so transferred shall be duly accounted for by the transfereein his books of account.

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CHAPTER V

INPUT TAX CREDIT

Rule 36 :Documentary requirements and conditions for claiming input tax credit Rule 37 : Reversal of input tax credit in the case of non-payment of consideration Rule 38 :Claim of credit by a banking company or a financial institution Rule 39 :Procedure for distribution of input tax credit by Input Service Distributor Rule 40 :Manner of claiming credit in special circumstances Rule 41 :Transfer of credit on sale, merger, amalgamation, lease or transfer of abusiness Rule 42 :Manner of determination of input tax credit in respect of inputs or input servicesand reversal thereof Rule 43 :Manner of determination of input tax credit in respect of capital goods and reversal thereof in certain cases Rule 44 :Manner of reversal of credit under special circumstances Rule 44A : Manner of reversal of credit of Additional duty of Customs in respect of Golddore bar Rule 45 :Conditions and restrictions in respect of inputs and capital goods sent to the jobworker

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