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CMA Intermediate · Direct and Indirect Taxation · Composition Levy

Verma & Sons withdrew from the composition scheme with effect from 1 July. Within what period must it furnish the FORM GST ITC-01 statement of stock of inputs and inputs contained in semi-finished or finished goods held on the date of withdrawal?

The statement must be furnished within thirty days from the date from which the option is withdrawn. Rule 6(6) prescribes this period for FORM GST ITC-01, whereas the seven-day limit applies only to the CMP-04 intimation when conditions cease to be satisfied.

  1. ASeven days from the date of withdrawal
  2. BFifteen days from the date of withdrawal
  3. CThirty days from the date from which the option is withdrawnCorrect
  4. DSixty days from the end of the financial year

Explanation

Rule 6(6) allows the statement in FORM GST ITC-01 to be furnished within thirty days from the date from which the option is withdrawn, or from the date of the CMP-07 order where option is denied. Seven days relates to the CMP-04 intimation under rule 6(2), which is the usual confusion.

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