2019 (7) TMI 139 - HC - GST

Unable to upload Form GST TRAN-02 - It is the grievance of the petitioner that his attempt to file Form GST TRAN-02 on 28.03.2019 was a futile exercise due to technical error of not filing Form GST-TRAN-01 - HELD THAT - This Court is of the considered view that Form GST TRAN-2 was not available on the Portal till March 2018. It may be for various reasons, Form GST TRAN-1 was not submitted by the petitioner well within the extended period provided - Considering the transitional period and to achieve the object of the provisions, this Court finds it appropriate to direct the Nodal Officer to consider the request of the representation submitted by the petitioner dated 25.09.2018 and 16.11.2018 at Annexure-F and G respectively in accordance with law and take decision in an expedite manner. Petition disposed off.

Summary

Issues Involved:
1. Failure to file Form GST TRAN-02 due to technical error
2. Denial of right to credit under Section 140(3) of the CGST Act, 2017
3. Requirement of filing Form GST TRAN-01 before Form GST TRAN-02
4. Dispute over technical glitches and redressal by Nodal Officer

Analysis:

1. The petitioner, a supplier of goods and services in Karnataka, faced issues while trying to file Form GST TRAN-02 on 28.03.2019 due to a technical error. Despite complaints to the respondents, no positive response was received, leading to the filing of a writ petition.

2. The petitioner's counsel argued that the failure to file Form GST TRAN-02 resulted in the denial of the petitioner's right to credit eligible duties under Section 140(3) of the CGST Act, 2017. The petitioner believed that submitting Form GST TRAN-01 was unnecessary when filing Form GST TRAN-02, but later realized the requirement. The Nodal Officer was expected to address such technical glitches.

3. The respondents' counsel contended that as per Rule 117 of the CGST Rules, filing Form GST TRAN-01 is mandatory before filing Form GST TRAN-02 to avail of transitional period benefits. Form GST TRAN-02 is a statement, while Form GST TRAN-01 is a return, and bypassing the former would defeat the purpose of the rules.

4. The court noted that Form GST TRAN-2 was not available on the Portal until March 2018 and observed that the petitioner had not submitted Form GST TRAN-1 within the extended period. However, considering the transitional period and the objectives of the provisions, the court directed the Nodal Officer to review the petitioner's representations and make a decision promptly.

In conclusion, the court disposed of the writ petition by instructing the Nodal Officer to consider the petitioner's requests in line with the law, emphasizing the importance of following the prescribed procedures for claiming input tax credit during the transitional period under the CGST Act, 2017.