Facts of the Case

The petitioner, M/s Sohan Lal Aggarwal, Kurukshetra, approached the Punjab & Haryana High Court seeking relief concerning the filing/revision of TRAN-1/TRAN-2 forms for claiming GST Transitional Input Tax Credit. During the hearing, the respondents informed the Court that the Hon'ble Supreme Court, in Union of India & Another vs Filco Trade Centre Pvt. Ltd. & Another, had already issued comprehensive directions allowing all eligible taxpayers to file or revise TRAN-1 and TRAN-2 forms within the specified time period through the GST common portal.

Issues Involved

  1. Whether the petitioner was entitled to relief for claiming Transitional Input Tax Credit through TRAN-1/TRAN-2.
  2. Whether the writ petition required adjudication after the Supreme Court issued nationwide directions reopening the GST portal for filing and revising transitional credit forms.
  3. Whether the petitioner could avail the benefit of the Supreme Court's directions without further intervention by the High Court.

Petitioner’s Arguments

  • The petitioner sought appropriate relief regarding the filing of TRAN-1/TRAN-2 forms for availing Transitional Input Tax Credit under the GST regime.
  • Upon being informed about the Supreme Court's directions in Filco Trade Centre Pvt. Ltd., the petitioner accepted that the grievance stood substantially addressed and chose not to press the writ petition further.

Respondent’s Arguments

  • The respondents relied upon the Supreme Court's order dated 22.07.2022 in Union of India & Another vs Filco Trade Centre Pvt. Ltd. & Another.
  • They submitted that GSTN had been directed to reopen the common portal from 01.09.2022 to 31.10.2022 for filing or revising TRAN-1 and TRAN-2 forms.
  • It was further submitted that the authorities would fully comply with the Supreme Court's directions, including verification of claims and granting eligible Transitional Credit.

Court Order / Findings

The Punjab & Haryana High Court observed that the controversy stood governed by the Supreme Court's decision in Union of India & Another vs Filco Trade Centre Pvt. Ltd. & Another.

Considering the respondents' assurance regarding compliance with the Supreme Court's directions, counsel for the petitioner stated that the writ petition was not pressed.

Accordingly, the High Court disposed of the writ petition, along with all pending applications, without adjudicating the merits of the claim, leaving the petitioner to avail the benefit granted under the Supreme Court's directions.

 Important Clarification

  • The Supreme Court directed GSTN to reopen the portal for filing or revising TRAN-1 and TRAN-2 forms from 01.09.2022 to 31.10.2022.
  • The benefit was made available to all aggrieved registered taxpayers, irrespective of whether they had filed writ petitions or their cases had been considered by the IT Grievance Redressal Committee (ITGRC).
  • Tax authorities were directed to verify the claims within 90 days after the closure of the portal and allow eligible Transitional Credit to be reflected in the Electronic Credit Ledger.
  • Since these directions covered the petitioner's grievance, the High Court found no necessity to continue with the writ proceedings.

Section Involved

  • Section 140 of the Central Goods and Services Tax Act, 2017 – Transitional Arrangements for Input Tax Credit (Transitional Credit through TRAN-1/TRAN-2).

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