What is Form GST TRAN-1 and TRAN-2?
A taxpayer who had unutilized CENVAT credit from erstwhile law, was allowed to carry it forward under GST law and utilize against GST liability. In order to carry forward, taxpayer had to file returns under Form GST TRAN-1 and TRAN-2.
Issues being faced by Industry!
Taxpayers could not file these returns on the due date due to several reasons, including, technical glitches on the GST portal, the unpreparedness of the finance team, incorrect returns filed, and the due date of revising them expired, etc. For this, various writ petitions were ordered in favor of the taxpayers however, there was no concrete plan made available by the Government in general, for filing / revising these returns. Finally, the matter came before the Honourable Supreme Court of India (SC).
On 22.07.2022, the SC directed the GSTIN to re-opening the GST portal for filing these returns. The portal shall remain open for two months from 01.10.2022 till 30.11.2022. CBIC issued guidelines on 10.09.2022 for the same.
https://taxinformation.cbic.gov.in/view-pdf/1003122/ENG/Circulars It is a welcomed move from the SC and will allow taxpayers in claiming the rightful credits.
Source: Supreme Court of India, Union of India Vs Filco Trade Centre (P.) Ltd
