M/S. Shirrai Automobiles vs. State Of Kerala - Kerala High Court, 04 July 2018

Cause title — parties, addresses and appearances

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR. JUSTICE DAMA SESHADRI NAIDU WEDNESDAY, THE 4TH DAY OF JULY 2018 / 13TH ASHADHA, 1940 WP(C).No. 6292 of 2018 PETITIONER M/S. SHINRAI AUTOMOBILES PRIVATE LTD., 29/1173B-1173C, S A ROAD, VYTILA, KOCHI-682019, REPRESENTED BY ITS DIRECTOR, MR. BHARAT K. PATEL. BY ADVS.SRI.JOLLY JOHN SMT.LIZA MEGHAN CYRIAC RESPONDENTS: 1. GST COUNCIL, REPRESENTED BY REVENUE SECRETARY & EX-OFFICIO SECRETARY TO THE GST COUNCIL OFFICE OF THE GST COUNCIL SECRETARIAT 5TH FLOOR, TOWER II, JEEVAN BHARATI BUILDING, JANPATH ROAD, CONNAUGHT PLACE, NEW DELHI-110001. 2. COMMISSIONER, OFFICE OF THE GST COUNCIL SECRETARIAT 5TH FLOOR, TOWER II, JEEVAN BHARATI BUILDING, JANPATH ROAD, CONNAUGHT PLACE, NEW DELHI-110001. 3. COMMISSIONER OF STATE TAX, TAX TOWER, KILLIPPALAM, KARAMANA P.O., THIRUVANANTHAPURAM-695002. ADDL RESPONDENTS IMPLEADED *4. UNION OF INDIA, DEPARTMENT OF REVENUE, CBEC, REPRESENTED BY SECRETARY TO THE GOVERNMENT, MINISTRY OF FINANCE, NEW DELHI 110 001. **5. CHAIRMAN, GOODS AND SERVICES TAX NETWORK, EAST WING, 4TH FLOOR, WORLD MARK-1, AEROCITY, NEW DELHI 110 037. **6. NODAL OFFICER, GOODS AND SERVICES TAX (INFORMATION SYSTEM), OFFICE OF THE COMMISSIONER OF STATE GOODS & SERVICES TAX DEPARTMENT, THIRUVANANTHAPURAM. * ADDNL R4 IMPLEADED AS PER ORDER DATED 04.07.2018 IN I A NO.9308/2018 ** ADDNL R5 AND R6 IMPLEADED AS PER ORDER DATED 04.07.2017 IN IA 11569/2018 R1,R 2 BY ADV. SRI.N.NAGARESH, ASSISTANT SOLICITOR GENERAL RADDL. BY ADV. SRI.P.R.SREEJITH,SC,GOODS AND SERVICES TAX NETWORK R3 BY GOVERNMENT PLEADER SRI SHAMSUDHEEN V K THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04-07-2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 6292 of 2018 (J) APPENDIX PETITIONER(S)' EXHIBITS EXHIBIT P1 A TRUE COPY OF THE PRESS RELEASE DATED 10.11.2017. EXHIBIT P2 A TRUE COPY OF SCREENSHOT OF THE WEBPAGE STATING THE EXTENSION OF DATE FOR FILING TRAN-1. EXHIBIT P3 A TRUE COPY OF THE ORDER NO. 10/2017-GST DATED 15.11.2017. EXHIBIT P4 A TRUE COPY OF THE SCREENSHOT OF THE DASH BOARD OF THE GST ACCOUNT OF THE PETITIONER IN THE GST COMMON PORTAL AVAILABLE AT (HTTPS:/ /WWW.GST.GOV.IN), SHOWING THE DETAILS UPLOADED BY THE PETITIONER. EXHIBIT P5 A TRUE COPY OF THE JUDGMENT IN THE CASE OF M/S. CONTINENTAL INDIA PRIVATE LIMITED AND ANOTHER V. UNION OF INDIA THRU SECY. AND 3 OTHERS. WRIT TAX NO.-67 OF 2018. EXHIBIT P6 TRUE COPY OF THE DIRECTION BY THE ASST. COMMISSIONER TO JOINT COMMISSIONER & NODAL OFFICER, DOCUMENT BEARING NO. 32AAMC55686 d274/2017-18 DATED 08.05.2018 JJJ DAMA SESHADRI NAIDU, J. ------------------------------------------ W.P.(C) No. 6292 of 2018 (J) ------------------------------------------ Dated: 04th July, 2018

J U D G M E N T The petitioner was a registered dealer under the Kerala Value Added Tax Act, now migrated to the Goods and Services Tax regime. To use the input tax available to his credit at the time of migration, the petitioner had to upload FORM GST TRAN-1 within the stipulated time. He asserts that though he attempted to upload it within the time, he failed because of some system error. The petitioner, therefore, seeks directions to enable him to take 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.

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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 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 -3- 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 sixth respondent for the issue resolution.

So, in this case also, 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.

To set a time frame, I may also observe that if the petitioner applies within two weeks after receiving this judgment, the Nodal Officer will consider and take steps within a week thereafter. If the uploading of FORM GST TRAN-1 is not -4- possible for reasons not attributable to the petitioner, the authority will also enable him to take credit of the input tax available at the time of migration. With these directions, I dispose of the Writ Petition. DAMA SESHADRI NAIDU JUDGE jjj 06/07/2018