As per Transition Rules, an unregistered person claiming input tax credit of Central Excise on the opening stock as on the appointed day, have to file monthly return known as FORM GST TRAN 2 with details of the outwards supplies made for the tax period.
As per Transition Rules, input tax credit of 60% is allowed if the tax rate is above 9% and in other cases 40% of the central tax on the goods laying in stock dealers how are not registered under Central Excise as on the appointed date.
As per Transitional Rules, any registered taxpayer as on the appointed day, who is not registered under the existing law is allowed to take input tax credit on the on the goods for Central Excise or Customs Duties held in stock on the appointed day even though is not in possession of the duty payable documents with him.
As per the transitional provisions in GST, Central Excise and Service Tax Credit will be carried forward as CGST Credit, Value Added Tax Credit will be carried forward as SGST Credit in the electronic credit ledger based on the input tax credit shown in the returns filed immediately prior to the appointed day.
As per the transitional provisions, existing input tax credit under Central Excise, Service Tax and Value Added Tax is available is carried forward to GST if the same credit is taken in the books and part of the return filed before the date of rollout of GST and the same is available under GST also as input tax credit.