Kerala High Court eases FORM GST TRAN-1 upload process, allowing input tax credit

The Kerala High Court directed the petitioner, facing technical issues while uploading FORM GST TRAN-1 for input tax credit during migration to the GST regime, to apply to the designated Nodal Officer for resolution. The Nodal Officer was instructed to investigate the matter and facilitate the upload, disregarding the original time-frame requirement. If uploading was not feasible due to reasons beyond the petitioner's control, the authority was to allow the input tax credit available at the time of migration. The court disposed of the Writ Petition with directions for the petitioner to address the technical glitch and avail the input tax credit.

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Issues: Technical glitch in uploading FORM GST TRAN-1 for input tax credit during migration to Goods and Services Tax regime.

In this judgment by the Kerala High Court, the petitioner, a registered dealer under various tax acts, faced a technical issue while trying to upload FORM GST TRAN-1 within the stipulated time to avail input tax credit during migration to the GST regime. The petitioner claimed that a system error prevented the successful upload. The court noted a circular by the Government of India establishing an IT Grievance Redressal Mechanism for taxpayers facing technical glitches on the GST Portal. The circular outlined the procedure for taxpayers to address such issues, emphasizing the need for evidence to establish a bona fide attempt to comply with the due process of law. The court acknowledged that not only the petitioner but also others encountered similar technical problems and had approached the court previously for resolution.

The court directed the petitioner to apply to the Nodal Officer designated for addressing such issues. Upon receiving the application, the Nodal Officer was instructed to investigate the matter and facilitate the uploading of FORM GST TRAN-1 for the petitioner, disregarding the original time-frame requirement. Additionally, the court set a timeline for the Nodal Officer to consider the application and take necessary steps, ensuring that if the uploading was not possible due to reasons beyond the petitioner's control, the authority would still allow the input tax credit available at the time of migration. The judgment concluded by disposing of the Writ Petition with the aforementioned directions for the petitioner to address the technical glitch and avail the input tax credit rightfully.

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