2018 (8) TMI 137 - HC - GST

Taxpayers get relief for GST TRAN-1 upload issues as technical glitches acknowledged and grievance mechanism established

M/s. Calibre Industries Versus The Principal Commissioner, GST and Central Excise, Government of Tamil Nadu, Union of India, The Goods and Service Tax

The Madras HC addressed technical difficulties faced by taxpayers in uploading Form GST TRAN-1 for input tax credit claims. The court noted that CBIC had ... Unable to upload Form GST TRAN-1 - input tax credit - Held that:- It was brought to the notice of the Central Board of Indirect Taxes (CBIC) and Customs about the difficulties faced by a section of tax payers owing to technical glitches on the GST and representations were given by the assessees. Therefore, the CBIC is setting up a Grievance Redressal Mechanism vide Circular No.39/13/2018-GST dated 03.4.2018. The respective Commissioner of GST and Central excise are directed to appoint Nodal Officer/Officers for the State of Tamil Nadu, if not already appointed, within a period of 2 weeks from the date of receipt of a copy of this order - petition disposed off. Issues:1. Difficulty faced by the petitioner in uploading Form GST TRAN-1 within the stipulated time frame.2. Appropriate directions sought by the petitioner due to technical glitches.3. Comparison of similar prayers and directions issued by High Courts of Chhattisgarh, Delhi, and Kerala.4. Establishment of a Grievance Redressal Mechanism by the Central Board of Indirect Taxes (CBIC) and Customs.5. Appointment of Nodal Officers to address issues faced by taxpayers.6. Interpretation of the circular dated 03.4.2018 regarding the appointment of Nodal Officers.7. Nomination of Nodal Officers by the Principal Secretary and Commissioner of Commercial Taxes, Government of Tamil Nadu.8. Disposition of the writ petition with specific directions to appoint Nodal Officers and submit applications within a prescribed timeline.Analysis:1. The petitioner expressed the inability to upload Form GST TRAN-1 within the stipulated time due to an error and sought appropriate directions. Similar prayers were made in other High Courts, leading to specific directions being issued to address such grievances.2. The Delhi High Court directed petitioners to approach the Nodal Officer with representations outlining their issues for appropriate resolution. The Kerala High Court permitted petitioners to apply to the Nodal Officer for resolution within a specified timeline if unable to upload Form GST TRAN-1 due to reasons not attributable to them.3. The CBIC established a Grievance Redressal Mechanism to address difficulties faced by taxpayers due to technical glitches. The circular dated 03.4.2018 outlined procedures for resolving stuck TRAN-1s and filing GSTR-3B, emphasizing the identification of taxpayers facing IT-related challenges.4. The circular also mandated the appointment of Nodal Officers by GSTN, Central, and State Governments to address taxpayer issues due to portal glitches. The appointment of Nodal Officers was crucial for forwarding representations and applications to resolve transition-related credit issues.5. The Government Advocate highlighted the appointment of a State Level Nodal Officer to address taxpayer problems in Tamil Nadu. The directive in the judgment required the respective Commissioners of GST and Central excise to appoint Nodal Officers promptly if not already done.6. The writ petition was disposed of with specific directions for appointing Nodal Officers within a set timeframe and submitting applications following the circular's guidelines. The Nodal Officers would then forward the grievances to the Grievance Committee for appropriate decisions within a specified period.