ITC utilized against Closing stock at the time of cancellation of gst registration

Hello sir/ Ma'am,

I had cancelled gst registration, at that time i had stock in house so i utilize my ITC against closing stock at the time of cancellation of gst registration.

Department send notice for clarification after 4.5 month and given 15 days time for reply. such time lapse and i can't reply on Or before given time period.

Department rejected my cancellation request. but such ITC utilized. at the time of cancellation will not reward back to my E-credit ledger...

is this a technical error of portal Or I hv to claim such amount in GSTR-3B?
Replies (4)
Quick Summary
This discussion addresses the correct procedure for utilising Input Tax Credit (ITC) on closing stock when cancelling GST registration. The user faced issues when the department rejected their cancellation request after a significant delay in responding to a notice, despite having already utilised ITC on the stock. The consensus suggests that ITC cannot be utilised unless the stock is sold, and it may lapse upon business closure. The user is advised to check if the ITC can be claimed back from the recipient or if it needs to be adjusted in GSTR-3B, considering potential portal errors or supplier limitations.

Maximum periode of itc as per an invoice was 6 months,then itc may block by ur supplier.u can not avail itc with interest.
if u paid itc on closing stock as per invoice, after cancellation of rc ,u may get it from ur recipient.
Utilization of Itc cannot be made unless the stock is sold to someone.
It's very obvious.
ITC will lapse in case of closure of business.
Business existence is not there so it's immaterial to hv input credit.

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