HC directed nodal officer to consider complaint with regards to bona fide error made while filing TRAN-1

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Fact: M/s. Pragati Automotion (P.) Ltd. (“The Petitioner”)  is before High Court for direction to the respondents to permit the petitioners to correct the bonafide error which has crept in while filing the GST Tran – 1 form because of which the petitioner is deprived of the transitional credit of an amount of Rs. 9,74,57,802/- in their electronic credit ledger.

Petitioner’s Contention of law: The petitioner contention that after the GST regime has been implemented in India, the petitioner filed GST TRAN-I claiming credit of Rs. 9,74,57,802/- in Column – 5 of Table 5(a) of Form GST TRAN – 1 well within the time prescribed by the statute. Revised Form GST TRAN – 1 was filed by the petitioner on December 27, 2017 after including the details of goods sent to job worker and held in his stock on behalf of the principal manufacturer in terms of Section 141 of CGST Act credit pertaining to job work. However, credit claim was indicated only in Column – 5 of Table 5(a) but not in Column – 6. The electronic credit ledger reflected credit of Rs. 5,89,346/-. The petitioner made several complaints before the Nodal Officer, but the same has not been considered so far.

Held: The Hon’ble High Court of Karnataka vide its Writ Petition No. 3159 of 2019 (T-RES) dated January 31, 2019 stated that the Nodal Officer appointed under the CGST and SGST Acts is obligated to consider the complaint of the petitioner and take a decision in the matter. However, the same has not been done, it is imperative for this Court to direct respondent No.7. Nodal Officer to consider the complaint/representation made by the petitioner at Annexures-H and K to the writ petition and take a decision in accordance with law in an expedite manner.

Citation: [2019] 102 taxmann.com 468 (Karnataka)