2019 (10) TMI 200 - HC - GST

Submission of GST TRAN-2 return electronically or manually - denial on the ground that the petitioner has not been able to show that there was genuine difficulty on the part of the petitioner to upload the form - HELD THAT - This Court is of the view that if there is a provision made for filing returns electronically and if because of certain technical glitches uploading could not be done in time, on that ground the concerned individual or firm ought not to be put to a disadvantageous position. The case of the petitioner is that though the petitioner was ready to file TRAN-2 electronically, the same could not be done as the portal was not working, because of which he had approached the authorities for allowing him to submit the form manually also, which in fact was considered by this Court and directed the authorities to allow the petitioner to file the form, either electronically or manually, as the case may be.

Issues:
1) Petitioner's challenge against non-acceptance of GST TRAN-2 return by the respondent.
2) Allegations of glitches in the GST portal affecting the filing process.
3) Dispute over the petitioner's ability to prove genuine difficulty in uploading the form.
4) Deprivation of input tax credit due to refusal of authorities to accept the TRAN-2 form.
5) Examination by the GST Commissioner and submission of grievances to higher authorities.
6) Legal implications of technical glitches on filing returns electronically.
7) Court's direction to allow filing of TRAN-2 form either electronically or manually.
8) Timeframe for resolution of the petitioner's grievances by the GST Council.

Analysis:
1) The petitioner challenged the Commissioner's act of not allowing the submission of GST TRAN-2 return, citing previous non-acceptance issues from July 2017 onwards. The Court directed the authorities to facilitate electronic or manual filing of the form, ensuring input tax credit benefits for the petitioner.

2) The petitioner, a private limited company, faced difficulties in submitting Form GST TRAN-2 due to glitches in the GST portal. The Commissioner's instruction tying acceptance to portal functionality was deemed unacceptable. The Court emphasized the need for remedies in case of portal malfunctions affecting taxpayers.

3) Dispute arose over the petitioner's ability to prove genuine difficulty in uploading the form, with the authorities insisting on evidence of efforts made. The petitioner highlighted the challenges posed by portal glitches, making it hard to demonstrate compliance with filing requirements.

4) The authorities' refusal to accept the TRAN-2 form electronically or manually risked depriving the petitioner of entitled input tax credit. The Court stressed the importance of ensuring that technical issues do not disadvantage taxpayers in fulfilling their obligations.

5) The GST Commissioner examined the petitioner's grievances and forwarded the matter to higher authorities for resolution. The Board's response emphasized adherence to the statutory framework of GST law, raising concerns about reopening portals due to technical glitches.

6) The Court emphasized that technical glitches should not disadvantage taxpayers who are willing to comply with filing requirements. It highlighted the petitioner's readiness to file electronically and the necessity for manual submission due to portal malfunctions.

7) The Court directed the authorities to allow the petitioner to file the TRAN-2 form either electronically or manually, based on the prevailing circumstances. This decision aimed to ensure that the petitioner could fulfill their obligations without being hindered by technical issues.

8) The GST Council was tasked with examining the petitioner's grievances and deciding on the mode of filing, electronically or manually, to prevent the petitioner from being deprived of the input tax credit rightfully due. A timeframe of three weeks was set for the resolution of the petitioner's concerns by the GST Council.

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