2021 (9) TMI 1051 - HC - GST

Seeking direction to rectify the mistake in the GSTIN allocated to the petitioner by the GSTN - benefit of transition ITC - loss in availing ITC on purchase as also its purchasers are not getting consequential benefit - HELD THAT - Once it is undisputed that the provisional GSTIN was to be generated by the GST Network upon verification of the Email and the mobile number submitted by the petitioner, the mistake in data collection with respect to the correct PAN remains attributable to the GST Network and not to the petitioner. The mistake is in the nature of a mistake apparent from the record, inasmuch if the petitioner had got his registration under the VAT Act corrected on 16.05.2017, as claimed. It was under no further obligation to inform GST Authority about the same. The writ petition is disposed of with a positive direction upon the respondent no. 6 to make due verification of the aforesaid fact from the Assessing Authority / erstwhile Assessment Authority of the petitioner under the UP VAT Act, 2008.

Summary

Issues:
Rectification of mistake in GSTIN allocation.

Analysis:
The petitioner filed a writ petition seeking direction for rectifying a mistake in the GSTIN allocated to him by the GSTN. The petitioner's father owned a business which later became the petitioner's proprietorship. When GST was enforced, a provisional GSTIN was generated, but with an error in the PAN number. The petitioner informed the authorities about the mistake promptly. Despite the application for fresh registration, the error persisted, causing hindrance to the business. The petitioner was unable to avail transitional ITC and file returns under the GST regime for a specific period. The revenue authorities argued against the petitioner's approach for fresh registration, but the court found the objection hyper-technical. The mistake in the PAN was attributed to the GST Network, not the petitioner. The court directed the respondent to verify the petitioner's status with the VAT authorities and correct the GSTIN to reflect the correct PAN within a month. All related documents with the wrong GSTIN would be deemed corrected, and the petitioner would benefit from a previous decision.

In conclusion, the court acknowledged the mistake in the GSTIN allocation to the petitioner, which hindered business operations and tax compliance. The court found the petitioner diligent in notifying authorities about the error and directed the respondent to rectify the GSTIN to reflect the correct PAN as per VAT records. This decision would enable the petitioner to avail transitional ITC, file returns, and conduct business smoothly under the GST regime.