2018 (7) TMI 1743 - HC - GST

Input tax credit - failure to upload FORM GST TRAN-1 within the stipulated time - case of petitioner is that though he attempted to upload it within the time, he failed because of some system error - Held that - Not only the petitioner but also many other people faced this technical glitch and approached this Court. Both the learned counsel submit that this Court on earlier occasions permitted the petitioners to apply to the Nodal Officer for the issue resolution. In this case also, the petitioner may apply to the the Nodal Officer. The petitioner applying, the Nodal Officer will look into the issue and facilitate the petitioner s uploading FORM GST TRAN-1, without reference to the time-frame. Petition disposed off.

Summary

Issues:
1. Petitioner's failure to upload FORM GST TRAN-1 within stipulated time due to system error.
2. Applicability of circular for IT Grievance Redressal Mechanism issued by Government of India.
3. Previous judgments allowing petitioners to apply to Nodal Officer for issue resolution.
4. Directions to enable petitioner to take credit of available input tax.

Analysis:
The judgment by MR. DAMA SESHADRI NAIDU J. of the Kerala High Court revolves around a petitioner, a registered dealer under the Kerala Value Added Tax Act, who migrated to the Goods and Services Tax regime. The petitioner encountered a system error while attempting to upload FORM GST TRAN-1 within the stipulated time to utilize available input tax credit. The petitioner sought directions to rectify this issue.

The Court considered the circular issued by the Government of India regarding the IT Grievance Redressal Mechanism for addressing taxpayer grievances due to technical glitches on the GST Portal. The circular outlined procedures for taxpayers to follow in case of glitches affecting the completion of due processes on the Common Portal. It emphasized the role of nodal officers in addressing such issues and facilitating solutions for problem resolution.

Acknowledging that the petitioner's case was not an isolated incident, the Court noted that previous petitioners were allowed to apply to the Nodal Officer for issue resolution. Consequently, the Court directed the petitioner to apply to the Nodal Officer for assistance in uploading FORM GST TRAN-1, irrespective of the timeframe originally stipulated.

In conclusion, the Court provided specific directions for the petitioner, stating that if the petitioner applied within two weeks of the judgment, the Nodal Officer should review the case promptly. If the system error preventing the uploading of FORM GST TRAN-1 was not attributable to the petitioner, the authority was instructed to enable the petitioner to claim the input tax credit available during migration. The Court disposed of the Writ Petition with these directives, ensuring the petitioner's access to the rightful credit.