Case Law Details
NRB Bearings Ltd. Vs Commissioner of State Tax (Bombay High Court)
Introduction: The Bombay High Court recently deliberated on a petition seeking rectification of Form GSTR-1 for the fiscal year 2017-2018. The petitioner, NRB Bearings Ltd., pursued amendments to correct clerical errors and enable the availing of input tax credit (ITC) amounting to Rs. 64,36,188.
Detailed Analysis: NRB Bearings Ltd. approached the jurisdictional officer to rectify invoice details in GSTR-1 for the period December 2019. During the process, the petitioner obtained confirmation from job workers, verifying non-availing of input tax credit. Subsequently, an application was filed before the Central Jurisdictional Commissionerate concerning credit disallowance due to mismatches between GSTR-3B and GSTR-1.
The petitioner cited Maharashtra State Circular No. 02A of 2022, addressing issues related to ITC claims. They obtained certification from a Chartered Accountant, confirming GST payment for the disputed transaction. However, no response was received from the concerned authority.
Arguing that there’s no provision under the CGST Act or Rules for rectifying genuine errors in GSTR-1 without revenue implications, the petitioner sought relief based on the precedent set in M/s. Star Engineers (I) Pvt. Ltd. vs. Union of India & Ors. The court, in the mentioned case, highlighted that technicalities should not impede legitimate rectifications that don’t result in revenue loss.
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