2019 (3) TMI 654 - HC - GST

Filing of Form GST TRAN 1 electronically - input tax credit - transition to GST Regime - Held that - The position that a large number of assessees are facing difficulties in accessing the GST website and/or uploading the required Forms is not in dispute - the technical difficulties faced by the petitioner in uploading GST TRAN I be rectified within a period of two (2) weeks from the date of receipt of a copy of the order - petition disposed off.

Summary

Issues:
Petitioner seeking a Writ of Mandamus for GST TRAN 1 filing, Misconceived prayer against the wrong respondent, Technical difficulties hindering Input Tax Credit (ITC) utilization, Glitches in the GST system, Delay in rectifying technical issues, Circular issued by CBIC addressing stuck TRAN-1s.

Analysis:
The Writ Petitioner approached the court seeking a Writ of Mandamus to direct the Principal Secretary/Commissioner of Commercial Taxes to enable the petitioner to file GST TRAN 1 electronically and treat it as filed correctly. The petitioner claimed entitlement to Input Tax Credit (ITC) but faced technical difficulties preventing the filing of Form TRAN 1, thereby hindering credit utilization.

The Respondent pointed out a misconception in the prayer, stating that the direction should have been against the Nodal Officer GST implementation Commission (R3) instead of the first respondent (R1). The Respondent acknowledged technical glitches in the system affecting the petitioner and committed to rectifying the issues within two weeks.

The court referred to a previous case involving similar technical matters and directed the petitioner to submit applications for rectification of the issues. Despite the petitioner's consistent efforts since May 2018 to resolve the situation, responses were lacking, leading to delays in addressing the technical difficulties hindering GST TRAN 1 filing.

Acknowledging the widespread difficulties faced by taxpayers in accessing the GST website and uploading required forms, the court referred to a Circular issued by the Central Board of Indirect Taxes (CBIC) addressing stuck TRAN-1s due to IT glitches. In light of the Respondent's commitment to rectify the technical issues within two weeks and the CBIC Circular, the court directed the immediate rectification of technical difficulties faced by the petitioner in uploading GST TRAN 1 within a two-week timeframe from the date of the order, disposing of the Writ Petition accordingly without costs.