2019 (9) TMI 817 - HC - GST

Permission for manual filing of GST TRAN-1 - Transitional credit - migration to GST regime - Section 140 (3) of the CGST Act, 2017 - HELD THAT - The Court is satisfied in the present case that the Petitioner was unable to fill the TRAN-1 Form on account of bonafide difficulties and that, therefore, the Petitioner should be afforded one more opportunity to do so. Accordingly, a direction is issued to the Respondents to permit the Petitioner to either submit the TRAN-1 form electronically by opening the electronic portal for that purpose or allow the Petitioner to tender said form manually on or before 15th October, 2019 and thereafter, process the Petitioner s claim for ITC in accordance with law. Petition disposed off.

Summary

Issues:
1. Petitioner seeking direction to file GST TRAN-1 manually and claim Input Tax Credit (ITC).
2. Petitioner's missed deadline for filing GST TRAN-1 due to compliance dates confusion.
3. Petitioner's representations to GST authorities and Ministry of Finance.
4. Reliance on Gujarat High Court judgment for similar relief.
5. Previous Delhi High Court orders recognizing difficulties in filing GST TRAN-1.
6. Court's analysis of previous cases with technical glitches in filing GST TRAN-1.

Analysis:
1. The Petitioner, a GST registered dealer, filed a petition to seek permission to manually file GST TRAN-1 and claim ITC of ?1,41,02,394 in accordance with CGST Act, 2017. The Petitioner missed the extended deadline of 27th December 2017 due to compliance date confusion despite representations to GST authorities and Ministry of Finance.

2. The Petitioner, a dealer of motor vehicles, faced challenges in complying with GST TRAN-1 filing due to multiple extended deadlines and technical glitches. The Petitioner's accountant overlooked the specific deadline extension, leading to the missed opportunity to claim ITC within the stipulated time.

3. The Petitioner made representations to jurisdictional GST Authorities and Ministry of Finance after missing the GST TRAN-1 deadline but received no response, prompting the filing of the petition seeking relief to manually file the declaration.

4. The Petitioner relied on a Gujarat High Court judgment allowing similar relief in comparable circumstances, emphasizing the need for a consistent approach in granting such permissions to claim ITC under CGST Act, 2017.

5. The Delhi High Court acknowledged previous orders highlighting taxpayers' challenges in filing GST TRAN-1, including instances of technical glitches preventing timely submissions, leading to the recognition of genuine difficulties faced by taxpayers in complying with the GST laws.

6. The Court referred to specific cases where taxpayers faced technical errors in filing GST TRAN-1, leading to the issuance of directions to permit manual filing or electronic submission after missed deadlines, emphasizing the importance of addressing genuine grievances and providing opportunities for taxpayers to claim ITC in accordance with the law.