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Rajasthan High Court grants liberty to the petitioner to make an application before GST Council to issue requisite certificate of recommendation to the Commissioner to enable the petitioner to get the benefit of CENVAT credit.

Section 140 of the CGST Act, 2017 — Transitional Credit – The petitioner prayed for allowing to revise TRAN-1 to enable it to claim transitional credit of eligible duties in terms of Section 140(2) of the Act, 2017. The petitioner counsel submitted that Form GST TRAN-1 was submitted on 13.12.2017 but made mistake in feeding the wrong details of unavailed CENVAT Credit. He took up the issue with the respondents in April, 2019. The petitioner counsel relied upon the judgment of Division Bench of this Hon'ble Court in Obelisk Composite Technology Llp Vs. Union of India & Ors., and on the judgment of the Division Bench of the Hon'ble Punjab & Haryana High Court in Adfert Technologies Pvt. Ltd. Vs. Union of India & Ors. The court observed that the different Courts in the precedent laws have dealt with two types of defaults; firstly, the registered persons loaded TRAN-1 by 27.12.2017, but there was a mistake and they wanted to revise the TRAN-1; whereas, secondly, the registered persons, who could not file TRAN-1 by 27.12.2017 and have no evidence of attempt to load TRAN-1. The petitioner filed the Form GST TRAN-1 before 27.12.2017 i.e. on 13.12.2017. There is settled view taken by the Division Bench of the Hon'ble Punjab & Haryana High Court in Adfert Technologies Pvt. Ltd. (supra) as well as affirmation thereof by the Hon'ble Supreme Court. Held that:- The Hon’ble High Court allowed the petition and granted liberty to the petitioner to make an application before GST Council and if such case is found to be correct, the GST Council shall issue necessary recommendation to the Commissioner to enable the petitioner to get the benefit of credit. Such an exercise shall be completed within a period of six months.
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