Case Law Details
M Trans Corporation Vs State Tax Officer (Kerala High Court)
Introduction: In a recent judgment, the Kerala High Court addressed a case where M Trans Corporation mistakenly claimed IGST refund instead of CGST/SGST. Despite the petitioner’s argument of a bona fide mistake, the court dismissed the petition. This article provides a detailed analysis of the judgment and its implications.
Detailed Analysis: The petitioner, M Trans Corporation, a registered dealer under the CGST Act and Kerala SGST Act, filed returns for the year 2017-18. However, show cause notices were issued alleging excess input tax credit availed by the petitioner as SGST and CGST. The petitioner claimed IGST instead of CGST/SGST, leading to the disallowance of input tax credit and imposition of tax, interest, and penalty.
The petitioner contended that the mistake was not deliberate but a bona fide error. Citing a Karnataka High Court judgment, the petitioner argued against punishing for such genuine mistakes.
However, the court observed that the statute prescribes a specific time limit for moving applications to correct such errors or claim refunds. As the petitioner failed to adhere to this timeline, the court couldn’t intervene beyond its jurisdiction to amend statutory provisions.
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