2020 (2) TMI 343 - HC - GST

Reopening of portal for uploading of returns - assessees are unable to upload their returns both GSTR-9 and GSTR-9C - HELD THAT - An interim order needs to be passed in light of the fact that the GST portal of the Govt. of India has not been effectively functioning and clearly there appears to be a physical limit, to which extent returns/forms can be uploaded on any one day (apart from admitted intermittent technical shutdowns) - We are prima facie satisfied that even if an assessees is ready and willing to comply with the statutory duty, so far as filing of returns are concerned, the website appears to be having technical bottlenecks, which appears to limit the opportunity of an assessee from uploading the forms. The petitioner Association and the assessee, for whom they represent, may keep uploading their returns at the earliest possible and we direct that no late fee shall be charged till 12th of February, 2020 for uploading. The respondents are directed to enable compliance of such uploading by making necessary/consequential corrections on its official portal. List this matter on 12.02.2020.

Summary

Issues:
1. Non-functionality of the GST portal affecting uploading of returns.
2. Extension of deadline for filing returns.
3. Technical glitches hindering uploading of returns.
4. Disagreement on alternative modes of return submission.
5. Pending returns and operational capacity of the portal.

Issue 1: Non-functionality of the GST portal affecting uploading of returns
The petition raised concerns about the non-functionality of the GST portal, www.gst.gov.in, leading to difficulties in uploading returns GSTR-9 and GSTR-9C. Despite attempts to upload returns, the portal displayed messages indicating high traffic and delays. The respondents had initially extended the deadline for filing returns due to portal issues, but subsequent attempts to upload returns were still unsuccessful.

Issue 2: Extension of deadline for filing returns
The Central Board of Indirect Taxes & Customs (CBIC) extended the deadline for filing returns in a staggered manner, but technical glitches persisted. The Union of India argued against further extensions, emphasizing the original deadline and the necessity of uploading returns on the main GST portal for input credit purposes.

Issue 3: Technical glitches hindering uploading of returns
The Union of India presented data showing the number of returns filed each day, indicating that the portal was operational before the original deadline. However, the petitioner highlighted the backlog of pending returns and the time required to process them, suggesting a need for an extended deadline due to the portal's operational limitations.

Issue 4: Disagreement on alternative modes of return submission
The petitioner suggested submitting returns via email to a specific officer, but the Union of India rejected this proposal, emphasizing the requirement to upload returns on the GST portal for input credit. The court noted the rejection of alternative submission methods and the need for returns to be uploaded on the official portal.

Issue 5: Pending returns and operational capacity of the portal
Considering the unresolved technical issues and the backlog of pending returns, the court granted the Union of India time to file a detailed reply. An interim order was passed directing the petitioner and represented assesses to continue uploading returns without incurring late fees until a specified date. The respondents were instructed to facilitate compliance by making necessary corrections on the portal and to provide information on the portal's operational status and capacity for accepting returns.

In conclusion, the court addressed the challenges faced by assesses in uploading returns due to technical bottlenecks on the GST portal and emphasized the need for the revenue to ensure adequate facilities for accepting returns within stipulated deadlines. The matter was scheduled for further hearing on a specified date.