Transitional Credit u/s 140 of GST Act

[THYAGARAJAN KALYANASUNDARAM]

Dear Experts,

one of my client's had missed out to claim the Transitional credit - 1 around 2 lakhs in SGST and could not file on or before 27th of Dec' 2017 due to technical clinches but they don't have any evidence for attemting the same except having the letter of acknowledgement. Now, based on the recent judgement pronounced in Punjab & Haryana High Court in the case of Adfert Technologies Pvt. Ltd. = 2019 (11) TMI 282 - PUNJAB AND HARYANA HIGH COURT can we seek the remedy from the concerned authority.

And also, they have represented before the Sales Tax officer and submit their letter on 29th december 2017 and explain the status.

Now we need to approach the sales tax authority or Judicial authority for filing WRIT to get the remedy.

Thanks in Advance.

[KASTURI SETHI]

In my view, your client must go ahead. You should approach Sale Tax Authority/ jurisdictional SGST officer. Your client will get his substantive right of tax paid but not claimed in TRANS-1(whatever may be the reason). There are so many other tax payers who suffered because of implementation of GST w.e.f.1.7.17.

AI Summary

Transitional credit claim: seek administrative recourse or writ remedy when TRANS 1 wasn't filed due to technical failure.
Missed claims for Transitional credit under Section 140 arise where a taxpayer failed to file Form TRANS-1 due to technical difficulties and lacks documentary proof beyond an acknowledgement and a subsequent representation to the sales tax officer; remedial paths include approaching the jurisdictional SGST/sales tax authority and, if necessary, seeking writ jurisdiction to challenge denial of the transitional credit while preserving evidence of attempted compliance.