GST | Allow Assesee To Upload ITC-01 To Claim Input Tax Credit: Allahabad High Court

The Allahabad High Court has allowed the assessee-petitioner to upload ITC-01 to enable him to avail of Input Tax Credit for shifting from the Composite Scheme to the Normal Scheme.

The Petitioner was initially registered under the Composition Scheme for the Financial Year 2022-23. However, with an increase in its turnover of the Financial Year, it converted into a normal scheme after submitting a withdrawal from the Composition Scheme. Petitioner contended that on account of the shifting from one scheme to another, it was entitled to avail the ITC in respect of stock of inputs in the form of semi-finished/ finished goods and Capital goods held by it on the date of the withdrawal by furnishing statement within 30 days in Form GSTITC-01 on the common portal.

Petitioner contended that due to technical glitches on the GST Portal, it was unable to file FORM ITC-01 to avail eligible ITC as per Section 18 (1) (c) of the SGST Act, 2017. Further, it was submitted that the petitioner complied with the provisions of Rule 40 (1) (b) of the SGST Rules and also prepared and certified the summary of ITC eligible on the lying stock on date.

The petitioner argued that authorities have not taken any action on the requests made by the petitioner for the grant of the benefit. Reliance was placed on M/s Pradip Chemanlal Mevada vs. Union of India and Ezzy Electricals vs. State of Gujarat wherein the Gujarat High Court directed the Respondent-Department to enable the petitioners upload Form ITC-01 and claim Input Tax Credit.

Per Contra, Counsel for Respondent argued that since the delay was caused by the petitioner, he will not be entitled to the benefits.

The bench comprising Chief Justice Pritinker Diwaker and Justice Ashutosh Srivastava held

“We find that the case of the petitioner is on the same footing as the petitioners before the Gujarat High Court. We are of the opinion that the petitioner is equally circumstanced and is entitled to the relief as has been granted by the Gujarat High Court to the petitioners before it particularly in view of the fact that no contrary case law has been cited by the counsel for the respondents.”

Accordingly, the Court directed the Respondent to do the needful to enable the petitioner to upload ITC-01 and claim an Input Tax Credit worth Rs. 31,18,718/-.

Case Title: M/S Anupam Electricals And Electronics vs. State of U.P. and Another [WRIT TAX No. - 881 of 2023]

Case Citation: 2023 LiveLaw (AB) 322

Click Here To Read/Download Order