My Auto World (Kanpur) Pvt Ltd Vs Union of India And 5 Others (Allahabad High Court)
Allahabad High Court held that benefit of Input Tax Credit in case of mentioning of wrong GSTIN of recipient needs to be analysed as per Circular No. 183/15/2022-GST. Accordingly, order set aside with direction.
Facts- The petitioner company is engaged in supply of TATA branded trucks in the name and style of M/s Excel Vehicles. The petitioner is also operating an Authorised Service Station for TATA Motors Ltd., for servicing of TATA branded trucks and supply of parts, components and accessories.
Just Prior to the enforcement of GST regime, the petitioner was having VAT Registration No. TIN 09437521460 for its showroom. Thereafter GSTIN 09AAICM0811C2ZW was issued by the officers of SGST, Kanpur. Simultaneously, in respect of servicing activity, the petitioner was issued GSTIN 09AAICM0811C1ZX by the officers of CGST, Kanpur.
The petitioner again requested the respondent to cancel one GSTIN and adjust the ITC taken against the GSTIN to be cancelled to another GSTIN. The respondent recommended that GSTIN 09AAICM0811C2ZW may be cancelled and GSTIN 09AAICM0811C1ZX may be continued. However, the grievance was not resolved.
On the basis of audit objection, the Superintendent issued letter dated November 3, 2022 alleging ITC availed in excess. In reply, the petitioner stated the circumstances in which purchases from TATA prior to May 14, 2018 were booked under GSTIN 09AAICM0811C1ZX whereas the returns were filed and ITC was availed under GSTIN 09AAICM0811C2ZW. The petitioner was then served with DRC-01A dated February 1, 2023 directing the petitioner to pay the amount of excess ITC of Rs.94,43,61,127/- along with interest u/s. 50 of the CGST Act and penalty u/s. 122 of the CGST Act.
