Allahabad HC Allows Extension for GST TRAN-01 Filing Due to Technical Glitches

Case Name:

M/s. National Chemical & Dyes Company Vs. Union of India

Writ Tax No. 200 of 2018

Key Takeaways:

- The court recognized technical glitches as a valid reason for extending filing deadlines.

- The judgment sets a precedent for similar cases where taxpayers face technical issues while filing returns.

- The court's decision emphasizes the importance of providing alternative methods (like manual filing) when electronic systems fail.

Issue:

Whether the time period for filing GST TRAN-01 should be extended for the petitioner who couldn't file due to technical glitches on the portal?

Facts:

- The petitioner attempted to file GST TRAN-01 on the last date, 27.12.2017.

- Despite several efforts, the electronic system did not respond.

- The petitioner had prepared a complete application for the necessary transitional credit.

- The petitioner filed a writ petition seeking an extension of the filing deadline.

Arguments:

Petitioner's Argument:

- The application wasn't entertained on the last date despite having a complete application ready.

- The petitioner might suffer a loss of credit due to the passage of time.

Respondent's Arguments:

The specific arguments of the respondents are not provided in the given context.

Key Legal Precedents:

The judgment doesn't mention any specific legal precedents.

Judgement:

- The court directed the respondents to reopen the portal within two weeks from the date of the order.

- If the portal is not reopened, the respondents must entertain the petitioner's application manually.

- The respondents were ordered to pass orders on the application after due verification of the credits claimed by the petitioner.

- The court also ensured that the petitioner would be allowed to pay taxes on the regular electronic system, considering the credit likely to be allowed.

FAQs:

Q1: What was the last date for filing GST TRAN-01?

A1: The last date mentioned in the judgment was 27.12.2017.

Q2: What alternatives did the court provide if the portal wasn't reopened?

A2: The court ordered that the petitioner's application should be entertained manually.

Q3: Did the court specify a timeframe for reopening the portal?

A3: Yes, the court directed the respondents to reopen the portal within two weeks from the date of the order.

Q4: What was the main reason for the petitioner's inability to file the return?

A4: The main reason was technical glitches in the electronic system of the respondent.

Q5: Did the court allow the use of transitional credit for regular tax payments?

A5: Yes, the court ensured that the petitioner would be allowed to use the credit likely to be considered for regular tax payments on the electronic system.

Heard Sri R.R. Kapoor, learned counsel for the petitioner, Shri S.K. Om, learned counsel for the respondents-Union of India.

The petitioner seeks a writ of mandamus directing the GST council respondent no.2 to make recommendations to the State Government to extend the time period for filing of GST Tran-1 in the case of the petitioner because his application was not entertained on the last date i.e. 27.12.2017 and he has filed his complete application for the necessary transactional credit.

The petitioner has alleged in the petition that despite making several efforts on the last date for filing of the application, the electronic system of the respondent no.2 did not respond, as a result of which the petitioner is likely to suffer loss of the credit that it is entitled to by passage of time.

In view of the above, the respondents are directed to reopen the portal within two weeks from today. In the event they do not do so, they will entertain the application of the petitioner manually and pass orders on it after due verification of the credits as claimed by the petitioner. They will also ensure that the petitioner is allowed to pay its taxes on the regular electronic system also which is being maintained for use of the

credit likely to be considered for the petitioner.

With the aforesaid directions, the writ petition stand disposed of finally.

Order Date :- 20.2.2018

S.P.