Availing ITC U/s 36 OF CGST ACT 2017

This discussion clarifies that if a supplier closes their business, any balance in your Electronic Credit Ledger (ITC) generally cannot be refunded. The ITC would typically lapse unless you are involved in exports or supplies with an inverted duty structure. If you hold inputs in stock when a business closes, these must be reversed via the cash or credit ledger as per Section 29(5) of the CGST Act.