Q. Cancellation of GST Registration of Composition Dealer

Question

Dear Sir,

Whether registered person who is paying tax under composition scheme needs to pay tax on closing stock, when he applies for cancellation of registration & if Yes, then How as GSTR-10 is not required to be filed by Him?

To my Considered view, assessee will be covered in Para 4 clause (c) of Schedule II which reads:-

where any person ceases to be a taxable person, any goods forming part of the assets of any business carried on by him shall be deemed to be supplied by him in the course or furtherance of his business immediately before he ceases to be a taxable person, unless—
[i] the business is transferred as a going concern to another person; or
[ii] the business is carried on by a personal representative who is deemed to be a taxable person.

Kindly advise, as many CA's are suggesting since we have not claimed ITC on Stock, we need not pay any tax on stock and Department is also issuing cancellation order without any demand of Tax on Stock.