Excel Polymers Vs State Tax Officer (Kerala High Court)
The petitioner, a registered taxpayer under the CGST/KSGST Act, challenged Ext.P7 assessment order relating to the assessment year 2018–19. Under Ext.P7, the input tax credit (ITC) claimed for the period from November 2018 to March 2019 was denied on the ground that the petitioner had failed to file the relevant returns within the cut-off date prescribed under Section 16(4) of the CGST Act.
The petitioner contended that, in view of Section 16(5) of the CGST Act, it was entitled to the claimed ITC since that provision contemplates that taxpayers who submit the relevant returns on or before 30.11.2021 are entitled to claim input tax credit. The petitioner relied on the dates of filing of the returns for the relevant months.
The High Court noted that Ext.P7 itself recorded that the returns for the months from November 2018 to March 2019 had been filed on 29.10.2019, 18.11.2019, 25.11.2019, 27.12.2019 and 04.01.2020. The Court found that all these returns had been filed within the cut-off date contemplated under Section 16(5) of the CGST Act. Consequently, the Court held that the petitioner was entitled to relief.
The writ petition was disposed of by quashing Ext.P7 to the extent that it denied input tax credit for the months from November 2018 to March 2019. The Court directed the first respondent to reconsider the matter and grant the benefit of input tax credit in the light of Section 16(5) of the CGST Act, if the petitioner is otherwise eligible.
