GST System is Still in Trial and Error Phase: Delhi High Court Allows WRIT on TRAN-1 Issue

The Hon’ble Delhi High Court has vide order dated 20.08.2019 allowed writ petition wherein the Petitioner was unable to claim transitional credit under the GST regime due to its inability to connect to the common portal during the prescribed period. Further, it was observed that since the Petitioner was unable to even connect with the server, the fact of a failed attempt at filing a return may not even be registered on the system.

While allowing the writ petition, the Court directed the Respondents to either open the Portal to enable the Petitioner to again file the TRAN-1 form electronically, failing which they will accept the TRAN-1 form already filed manually by the Petitioner. The Hon’ble Court relied on its previous decisions in the cases of Bhargava Motors v. Union of India 2010 SCC OnLine Del 8474, Kusum Enterprises Pvt. Ltd. v. Union of India WP(C) 7423/2019 and Sanko Gosei Technology India Pvt. Ltd. v. Union of India WP(C) 7335/2019 wherein similar issue of network failures or other failures were faced by the Petitioners therein.

The order was passed by Bench comprising of Hon’ble Justice S. Muralidhar and Justice Talwant Singh. The Petitioner was represented by Adv. Puneet Agrawal and Adv. Gaurav Gupta.

The copy of the order dated 20.08.2019 is provided below.

Order Tyre Plaza Delhi High Court

 

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