TRAN1 Credit

[MUNIRAJ SRINIVASAN]

Dear Sir,

one my client TRAN 1 Credit (Service Tax Input of ₹ 12,36,000) available in our books limitation period is over we have to file HIGH COURT Writ or any other option is there ?

If any format we have to file along with Writ ?

Please guide me

[ABHISHEK TRIPATHI]

Dear Muniraj Srinivasan,

1. According to (i) the Act and the rules made thereunder and (ii) Brand Equity judgment, yes your transition is time barred. Means your limitation period is over.

2. You may try because carrying forward Tran-1 credit is your 'vested right' and may use arguments like property and all (refer brand equity and the judgment cited in that)

3. Every Hon'ble HC has different formats of filing Writ Petition. Basically, what you should be asking whether you have a case under 226 or not? I think you have.

[KASTURI SETHI]

It is long battle and moreover, chances are slim. It is an uphill task to challenge time limit prescribed under any Act.

AI Summary

Transition credit time bar: vested right arguments may be raised, but limitation challenges face significant hurdles. Transition of pre GST service tax credit under the TRAN 1 mechanism is time barred where statutory limitation has expired; taxpayers may argue the carry forward is a vested right supported by judicial precedent, yet such challenges face significant hurdles and are commonly pursued by constitutional writ petition tailored to the procedural requirements of the forum.