2018 (12) TMI 620 - HC - GST

Input tax credit - credit in respect of any invoice or debit note for supply of goods or services or both after the due date of furnishing of the return - Restriction of credit u/s 16 - GSTR-3 versus GSTR-3B - Held that - Issue Notice returnable on 9th January, 2019.

Summary

Issues: Interpretation of Central Goods and Services Tax Act, 2017 regarding input tax credit and filing of returns.

Analysis:
1. The petitioner's counsel argued that as per section 16(4) of the Central Goods and Services Tax Act, 2017, a registered person cannot claim input tax credit after the due date of furnishing the return under section 39 for the relevant period. The relevant return mentioned is FORM GSTR-3 as per rule 61(1) of the Central Goods and Services Tax Rules. The counsel highlighted Notification No.10/2017 which introduced sub-rule (5) of rule 61 allowing for furnishing of return in FORM GSTR-3B in specific circumstances.

2. The counsel further pointed out that Notification No.17/2017-Central Tax amended sub-rule (5) of rule 61 to specify that FORM GSTR-3B is to be furnished electronically in certain situations. It was argued that FORM GSTR-3B is not a substitute for FORM GSTR-3 and is applicable only as per the circumstances mentioned in the rules.

3. The petitioner contended that the impugned press release incorrectly stated the last date for availing input tax credit for invoices issued between July 2017 to March 2018 as the deadline for filing return in FORM GSTR-3B for September 2018. The counsel emphasized that while FORM GSTR-3B is used in specific situations, the requirement for claiming input tax credit is to furnish return in FORM GSTR-3 as per the Act and rules.

4. Considering the arguments presented, the court issued notice for the matter to be heard on 9th January, 2019. The issues raised revolve around the correct interpretation of the provisions of the Central Goods and Services Tax Act, 2017 regarding input tax credit and the appropriate form for filing returns under specific circumstances as outlined in the rules. The discrepancy between the impugned press release and the statutory provisions will be examined further during the hearing.