Johnson Matthey Chemicals India Pvt. Ltd. Vs Union of India (Delhi High Court)
Delhi High Court held that enhanced credit under GST regime by revising TRAN-1 based on revising manually excise return within specified time limit is acceptable. Accordingly, order quashed and appeal allowed.
Facts- This petition under Article 226 of the Constitution of India challenges an order passed by respondent no.3 whereby the petitioner’s revised TRAN-1 Form dated 28 November 2022 filed under Section 140 of the Central Goods and Service Tax Act, 2017 (‘CGST Act’) has been rejected on the ground that the petitioner has not revised its excise return for the period prior to 1 July 2017 electronically and consequently, the credit of duties cannot be transitioned.
Conclusion- Held that we do not see any infirmity in the claim made by the petitioner by revising manually excise return from June 2017 and claiming transition of the enhanced credit under the GST regime by revising TRAN-1 within the time limit specified by the Supreme Court in the case of Filco Trade Centre Pvt. Ltd.
Accordingly, the impugned order dated 27 February 2023 (Exhibit ‘B’) is quashed and set aside. The respondents are directed to accept the revised excise return filed manually by the petitioner on 23 November 2022 and, consequently, permit the transition of Rs. 1,16,29,351/- being the CENVAT credit with respect to 3 Bills of entry for the month of May/June 2017.
