Reverse itc

But before cancellation u hv to clear off ur liability till that date... So reverse ur itc in gstr3b and pay tax then apply for cancellation mam

and do i need to pay tax on stock held while filing for 16,

As per Section 29(5) of the CGST Act 2017, the registered taxpayer must pay a considerable amount when the registration is cancelled, by the means of debit in the electronic cash ledger which must be equal to the credit of input tax in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock, or capital goods or plant and machinery, on the day immediately preceding the date of such cancellation or the output tax payable on such goods, whichever is higher.

Sir not able to return Itc because return is more than input and values are going in negative and portal is goving error for that, So should proceed for cancellation directly without returning excess itc??

Add that in ur output liability tax and pay that.... Then file the request for cancellation