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TMI Blog2020 (6) TMI 480X X X X Extracts X X X X X X X X Extracts X X X X ..... ner-a partnership firm, engaged in the business of trading of S.S. Flats, is registered with Respondent-GST Authorities under Central Goods and Services Tax Act, 2017 (for short 'CGST Act'). The Petitioner prior to 01.07.2017 i.e. date of introduction of GST was registered under Central Excise Act, 1944 as a dealer/trader. The Petitioner purchased S.S. Flats and Scrap on payment of Excise Duty amounting to Rs. 10,36,201/-. The Petitioner to carry forward unutilized CENVAT Credit, in terms of Section 140 of CGST Act read with Rule 117 (1) was required to upload TRAN-I on the official portal of Respondent, however Petitioner failed to upload TRAN-I by last date i.e. 27.12.2017. As per sub-Rule (1A) of Rule 117 of the Rules, the Commissioner o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dent no.2-Commissioner of Central Goods & Services Tax. They are unable to controvert the fact that the issue in hand is squarely covered by the judgment of this Court in Adfert Technologies Pvt. Ltd. (Supra) and of the Delhi High Court in the case of Brand Equity (Supra). 6. Having heard learned Counsel for the parties and perused the cited judgments, we are of the considered opinion that issue involved is squarely covered by judgments of this Court as well as of the aforesaid judgments of Delhi High Court. 7. A Division Bench of this Court consisting one of us (Jaswant Singh J) vide order dated 4.11.2019 allowed a bunch of petitions which included CWP No. 30949 of 2018 titled as Adfert Technologies Pvt. Ltd. Vs Union of India. The reven ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... concept and the respondent seems to contend that it should be restricted only to "technical glitches on the common portal". We, however, do not concur with this understanding. "Technical difficulty" is too broad a term and cannot have a narrow interpretation, or application. Further, technical difficulties cannot be restricted only to a difficulty faced by or on the part of the respondent. It would include within its purview any such technical difficulties faced by the taxpayers as well, which could also be a result of the respondent's follies. After all, a completely new system of accounting; reporting of turnover; claiming credit of prepaid taxes; and, payment of taxes was introduced with the implementation of the GST regime. A baske ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fted to electronic means. The Nodal Officers often reach to the conclusion that there is no technical glitch as per their GST system laws, as there is no information stored/logged that would indicate that the taxpayers attempted to save/submit the filing of Form GST TRAN-1. Thus, the phrase "technical difficulty" is being given a restrictive meaning which is supplied by the GST system logs. Conscious of the circumstances that are prevailing, we feel that taxpayers cannot be robbed of their valuable rights on an unreasonable and unfounded basis of them not having filed TRAN-1 Form within 90 days, when civil rights can be enforced within a period of three years from the date of commencement of limitation under the Limitation Act, 1963. 19. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onable. It cannot be arbitrary or discriminatory, if it has to pass the muster of Article 14 of the Constitution. The government cannot turn a blind eye, as if there were no errors on the GSTN portal. It cannot adopt different yardsticks while evaluating the conduct of the taxpayers, and its own conduct, acts and omissions. The extremely narrow interpretation that the respondents seek to advance, of the concept of "technical difficulties", in order to avail the benefit of Sub Rule (1A), is contrary to the statutory mechanism built in the transitory provisions of the CGST Act. The legislature has recognized such existing rights and has protected the same by allowing migration thereof in the new regime under the aforesaid provision. In order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Credit accrued under Central Excise Act, 1944. The Respondents have repeatedly extended date to file TRAN-I where there was technical glitch as per their understanding. Repeated extensions of last date to file TRAN-I in case of technical glitches as understood by Respondent vindicate claim of the Petitioner that denial of unutilized credit to those dealers who are unable to furnish evidence of attempt to upload TRAN-I would amount to violation of Article 14 as well Article 300A of the Constitution of India. 9. In view of decision of this Court in the case of Adfert Technologies Pvt. Ltd. (Supra) and Delhi High Court in the case of Brand Equity Treaties Ltd. (Supra) present petition deserves to be allowed and accordingly allowed. The Respon ..... X X X X Extracts X X X X X X X X Extracts X X X X
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