Rule 41A of CGST Rules 2017: Transfer of ITC on obtaining separate registration for multiple places of business within a State/ UT

Provisions under Rule 41A of the Central Goods and Services Tax (CGST) Rules, 2017 relating to “Transfer of ITC on obtaining separate registration for multiple places of business within a State/ UT”, are as under:

CGST Rule 41A: Transfer of credit on obtaining separate registration for multiple places of business within a State or Union territory (Chapter-V: Input Tax Credit) 

(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 unutilised input tax credit lying in his electronic credit ledger to any or all of the newly registered place of business, shall furnish within a period of thirty days from obtaining such separate registrations, the details in FORM GST ITC 02A electronically on the common portal, either directly or through a Facilitation Centre notified in 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.

Explanation.- For the purposes of this sub-rule, it is hereby clarified that the ‘value of assets’ means the value of the entire assets of the business whether or not input tax credit has been availed thereon.

(2) The newly registered person (transferee) shall, on the common portal, accept the details so furnished by the registered person (transferor) and, upon such acceptance, the unutilised input tax credit specified in FORM GST ITC 02A shall be credited to his electronic credit ledger.

Amendments History:

1. CGST Rule 41A inserted vide Central Tax Notification 3/2019 dt. 29/01/2019.

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Note: The CGST Rules 2017 along with the prescribed Forms were initially notified vide Central Tax Notifications 3/2017 dated 19/06/2017 (Rule 1 to 26), 10/2017 dated 28/06/2017 (Rules 27 to 138) and 15/2017 dated 01/07/2017 (Rules 139 to 162). These Rules/ Forms were subsequently amended by CBIC through various Notifications issued from time to time. Information on this page is a Rule-wise compilation of the Amendments made by various Notifications issued by CBIC from time to time, with best possible efforts for accuracy. In any case, E&OE. For official/ updated information, please visit CBIC website.