{"id":167,"date":"2020-06-11T04:57:35","date_gmt":"2020-06-11T04:57:35","guid":{"rendered":"http:\/\/www.rnm.in\/blog\/?p=167"},"modified":"2025-01-30T10:55:45","modified_gmt":"2025-01-30T10:55:45","slug":"past-tense-present-deeds","status":"publish","type":"post","link":"https:\/\/www.rnm.in\/blog\/past-tense-present-deeds\/","title":{"rendered":"Past tense, present deeds"},"content":{"rendered":"\n

Delhi High Court, Ruling-1  <\/strong>
Bharti Airtel Pvt. Ltd. \u2013 <\/p>\n\n\n\n

Issue Involved:<\/strong>
Amendment of GSTR-3B filed <\/p>\n\n\n\n

Facts:<\/strong>
With the introduction of GST Law, the telecom company got approximately 50 GST registrations all across the country. Due to significant difference in compliance in the implementation of new law, there were some technical changes for enabling GSTR-1\/2\/ and 3 which couldn\u2019t be operationalized, through introduction of new Form GSTR-3B (summary form).
As the portal was not equipped to handle the transition from erstwhile regime to GST, led to several inadvertent errors like over reporting of output liability of erstwhile regime in GSTR-3B.
Details of ITC to be availed from GSTR-2 were not available, led to excess payment in cash, although actually the ITC was available. <\/p>\n\n\n\n

In the absence of rationale for allowing rectification in the month for which the statutory return has been filed is contrary to the statutory scheme of the CGST Act which allows data filled by a registered person to be validated in that month itself, and thereafter any unmatched details to be rectified in the month in which it is noticed.
Accordingly, Rule 61 (5) Form GSTR-3B and Circular No. 26\/26\/2017-GST dated December 29, 2017 as ultra vires the provisions of CGST Act to the extent, not permitting the modification of the information to be filled in the return of the tax period to which such information relates. The aforesaid provisions are also impugned on the ground that they are arbitrary, in violation of Articles 14, 19(1) (g), 265 and 300A of the Constitution of India. <\/p>\n\n\n\n

Decision:<\/strong>
On plain reading of Section 37, 38 and 39 of the CGST Act, output of a supplier is auto-populated and data has to be populated in GSTR-3 and tax has to be paid. But due to under developed technical software an amendment is made in CGST Rules, 2017 due to lackadaisical transition into regime.
Consequently a correction of errors in Form GSTR-3B in accordance with Form GSTR-1\/2 is permitted as per Circular 7\/7\/2017-GST and Circular 26\/26\/2017-GST issued by CBEC.
The refund of excess cash balance can\u2019t be claimed under Sec.49 (6) read with Sec. 54 of Act. Thus only alternative is utilization of the input tax credit by rectification under annual return\/ GSTR-3B. The correction mechanism is critical to sustaining successful implementation of GST. <\/p>\n\n\n\n

It was held to rectify the Form GSTR-3B and claim refund of excess tax paid.<\/p>\n\n\n\n

Notification 38\/2020- CGST<\/strong>
Authorities have permitted the filing of GST returns through EVC, instead of DSC, due to pandemic. <\/p>\n\n\n\n

Notification 39\/2020- CGST<\/strong>
GST registration by IRP (Insolvency Resolution Practitioner)\/ RP (distinct from corporate debtor) in case of companies undergoing insolvency within thirty days of the appointment of the IRP\/RP or by June 30, 2020, whichever is later, in case of non-compliance of monthly returns by existing corporate debtors. <\/p>\n\n\n\n

Notification 39\/2020- CGST<\/strong>
Due date to file E-way bill has been extended to May 31, 2020 expiring from March 20, 2020 onwards. <\/p>\n\n\n\n

Notification 43\/2020- CGST<\/strong>
Amendment in Section 140 of the CGST Act, 2017 (Form TRAN-1), as referred in Finance Bill, 2020 to restrict time limit to carry forward the CENVAT from erstwhile Indirect Tax to GST Law within 90 days of appointed day as mentioned in CGST Rules, 2017. <\/p>\n\n\n\n

Circular 138\/2020- CGST<\/strong><\/p>\n\n\n\n