Section 140 of the CGST Act, 2017 — Transitional Credit –-- The petitioner challenged alleged inaction of the respondents in permitting the petitioners to rectify the errors made by the petitioners in Transition Form – l. The petitioner submitted that due to inadvertence, in the column under the heading ‘Eligible duties paid on such inputs’, petitioners entered ‘0’ in place of the CENVAT credit to be carried forward. Realizing the mistake made, petitioners submitted representations dated 04.03.2020 requesting respondent to permit them to rectify the inadvertent error in the TRAN-l form. The court relying on various decisions observed that they are dealing with a situation where the taxpayers have already paid CENVAT, and under law, they are entitled to carry forward the credit of such CENVAT into the new system. This right is a substantive right, and in our view, should not be permitted to be extinguished on technicalities.

Held that:- The Hon’ble High Court directed the respondent to take a decision on the representations of the petitioners dated 04.03.2020 either by reopening the online portal, or manually, within a period of four weeks.