Jkb Motors vs. Union Of INDIA - Kerala High Court, 15 February 2019

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DAMA SESHADRI NAIDU FRIDAY ,THE 15TH DAY OF FEBRUARY 2019 / 26TH MAGHA, 1940 WP(C).No. 3892 of 2019 PETITIONER/S: M/S.JKB MOTORS, BUILDING NO. XII 27 AND 28, PULINCHODE, ALUVA 683101. REPRESENTED BY ITS MANAGING PARTNER , YACOB.A.V. BY ADVS. SRI.A.KUMAR JOB ABRAHAM SMTG.MINI(1748) SRI.AJAY V.ANAND SRI.P.J.ANILKUMAR SRI.P.S.SREE PRASAD RESPONDENT/S: 1 UNION OF INDIA REPRESENTED BY THE FINANCE SECRETARY, NORTH BLOCK, NEW DELHI 110 001. 2 THE COMMISSIONER GST AND CENTRAL EXCISE, CENTRAL REVENUE BUILDING, I S PRESS ROAD, COCHIN 682 018. 3 NODAL OFFICER, CENTRAL REVENUE BUILDINGS, IS PRESS ROAD, COCHIN 682 018. 4 GOODS AND SERVICES TAX NETWORK, EAST WING, 4TH FLOOR, WORLD MARK-1, AEROCITY, NEW DELHI 110037. BY ADVS. SRI.P.R.SREEJITH, SC, CENTRAL BOARD OF EXCISE AND CUSTOMS SRI.P.R.SREEJITH,SC,GOODS AND SERVICES TAX NETWORK SREELAL N. WARRIER, SC, CENTRAL BOARD OF EXCISE &AMP; CUSTOMS

W.P.(C) No.3892/2019 -2- OTHER PRESENT: SC SRI. SREELAL WARIER.,ASGI SRI. P. VIJAYAKUMAR. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 15.02.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: J U D G M E N T The petitioner, a registered dealer under the Kerala Value Added Tax Act, has now migrated to the Goods and Services Tax regime. To use the input tax available to its credit at the time of migration, the petitioner had to upload FORM GST TRAN-1 within the stipulated time. The petitioner asserts that though it attempted to upload the form within the time, it failed because of some system error. The petitioner, therefore, seeks directions for taking credit of the available input tax.

Heard the learned counsel for the petitioner, the learned Government Pleader, as well as the learned Standing Counsel, besides perusing the record.

The Government of India has issued Circular No.39/13/2018-GST, dated 03.04.2018, for “setting up an IT Grievance Redressal Mechanism to address the grievances of

W.P.(C) No.3892/2019 -3- taxpayers due to technical glitches on GST Portal.” Paragraph 5 of the circular outlines the procedure the Nodal Officers is to follow. It reads:

Nodal officers and identification of issues

1 GSTN, Central and State government would appoint nodal officers in requisite number to address the problem a taxpayer faces due to glitches, if any, in the Common Portal. This would be publicized adequately.

2 Taxpayers shall make an application to the field officers or the nodal officers where there was a demonstrable glitch on the Common Portal in relation to an identified issue, due to which the due process as envisaged in law could not be completed on the Common Portal.

3 Such an application shall enclose evidences as may be needed for an identified issue to establish bona fide attempt on the part of the taxpayer to comply with the due process of law

4 These applications shall be collated by the nodal officer and forwarded to GSTN who would on receipt of application examine the same. GSTN shall after verifying its electronic records and the applications received, identify the issue involved where a large section of tax payers are affected. GSTN shall forward the same to the IT Grievance Redressal Committee with suggested solutions for resolution of the problem. (italics supplied)

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 concerned to have the

W.P.(C) No.3892/2019 -4- issue resolved.

So, here too, the petitioner may apply to 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. Ordered so.

I may also observe that if the petitioner, faced with any practical difficulties, manually applies within two weeks after receiving this judgment, the Nodal Officer will consider it and take steps within a week thereafter. If the uploading of FORM GST TRAN-1 is not possible for reasons not attributable to the petitioner, the authority will also enable it to take credit of the input tax available at the time of its migration. With these directions, I dispose of the Writ Petition. DAMA SESHADRI NAIDU JUDGE jjj

W.P.(C) No.3892/2019 -5- APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 KVAT REGISTRATION CERTIFICATE DATED 17/8/2015. EXHIBIT P2 GST REGISTRATION CERTIFICATE DATED 8/9/2018. EXHIBIT P3 DETAILED STOCK STATEMENT OF GOODS AS ON 30.6.2017. EXHIBIT P4 SCREENSHOT OF ERROR TCP EROOR. EXHIBIT P5 LETTER TO THE NODAL OFFICER DATED 5/1/2019. EXHIBIT P6 LETTER FROM 3RD RESPONDENT DATED 17/1/2019.