Under Section 140 of the Model GST Law the balance input tax credit at the end of VAT period will be allowed to be carried over to the GST system.
A new link under heading "Stock 31-3-2017" will appear in dealer's screen at 8 PM on 31 March 2017.The link will provide a table where the dealer shall have to enter quantity and value of registered dealing goods lying in stock in the end of 31st day of March 2017.The dealer should undertake physical verification of their stock at shop and godown on 31st March or 1st April 2017. The quantity and value should be entered as per the physical verification. "The link will continue appearing only till 8 PM of 7 April 2017."
The stock of 31st March 2017 declared in the link will be the base data.The balance input tax credit to be carried over to GST system from 1 July 2017 will be verified on the basis of this base data alongwith data of purchase and sales made during April to June 2017. If any dealer fails to declare closing stock of 2016-17 through the link, he will not be allowed to carry over balance input tax credit to GST system."