2019 (7) TMI 1194 - HC - GST

Transitional Credit - transition to GST regime - prayer to Nodal Officer, to forward writ petitioner's file to fourth respondent for reopening the aforesaid TRAN-01 - HELD THAT - There is no dispute and disagreement that authorised representative of writ petitioner had considerable difficulty in going before the second respondent on 27.3.2019. It is also not in dispute that this was owing to lack of clarity about which Officer should hear the authorised representative of writ petitioner. In effect, there is no disputation that nothing happened on 27.3.2019 before the second respondent. This Court is of the considered view that it would be appropriate to direct the second respondent now hear out writ petitioner's authorised representative (pursuant to proceedings dated 26.3.2019 made by my predecessor learned Judge, more particularly paragraph-7 thereof) and pass orders within a fortnight therefrom on writ petitioner's grievance qua short credit including manual filing. Petition disposed off.

Summary

Issues Involved:
Transitional credit under Goods and Services Tax (GST) regime, reopening of TRAN-01 for availing credit, technical glitches in the system, authority's consideration of the petitioner's request, difficulties faced by the petitioner's representative in the process, directions for the second respondent to hear the petitioner's representative and pass orders, mode of re-filing if necessary, communication of the speaking order to the petitioner, provision for further recourse if the petitioner is not satisfied.

Analysis:

Transitional Credit under GST Regime:
The writ petition concerns the availing of transitional credit by the petitioner under the Goods and Services Tax (GST) regime, specifically related to the transitional credit available as of 30.6.2017. The process of availing transitional credit is governed by the Central Goods and Services Tax Rules, 2017, as a form of subordinate legislation under the GST Act.

Reopening of TRAN-01 and Technical Glitches:
The petitioner filed TRAN-01 on 28.9.2017, initially receiving credit in their State Goods and Services Tax (SGST) e-Credit Ledger. However, upon reopening and refiling of TRAN-01, the credit amount was significantly reduced, leading to a dispute regarding the entitled credit amount of &8377; 83,20,469/-. The petitioner faced technical difficulties, including system rejection of electronic re-submission, and sought reopening of TRAN-01.

Authority's Consideration and Directions:
The court directed the second respondent to consider the petitioner's grievance regarding the short credit and pass orders within a specified timeframe. The court emphasized the need for a speaking order from the second respondent, which should also indicate the mode of re-filing if required. The petitioner's authorized representative was instructed to present all supporting materials before the designated officer.

Difficulties Faced by Petitioner's Representative:
There were acknowledged difficulties faced by the petitioner's representative in appearing before the second respondent due to ambiguity regarding the responsible officer. This lack of clarity resulted in no progress on the scheduled date, necessitating the court's intervention to ensure a proper hearing and resolution of the matter.

Further Recourse and Communication of Orders:
In case the order passed by the designated officer is unsatisfactory to the petitioner, the court left all questions open for further consideration. The communication of the speaking order to the petitioner within a specified timeframe was mandated, ensuring transparency and accountability in the resolution process.

Conclusion:
The writ petition was disposed of with specific directions for the second respondent to address the petitioner's grievance effectively. The court's intervention aimed to facilitate a fair resolution process and provide a mechanism for further recourse if needed, ensuring the petitioner's rights under the GST regime are duly protected.

This detailed analysis covers the key issues involved in the judgment, providing a comprehensive understanding of the legal proceedings and directives issued by the court.