Order date – 17 November 2022

Facts –

• The Petitioner, M/s Euro Pratik Sales Corporation, closed his business and applied for cancellation of registration which was granted by an order dated 18th July 2019.
• At the time of cancellation, the petitioner had deemed excise credit of Rs.39,13,025/-. The petitioner was entitled to claim transition credit in Form GST TRAN-1 under sub-section 3 of Section 140 of the Central Goods and Services Tax Act, 2017 (CGST Act). Petitioner applied for transition but due to various reasons, petitioner’s transition could not take place.

Issue –

• Whether the petitioner can file a revised GST TRAN-1 so as to avail the excise credit?

Order –

• The Hon’ble High Court observed the petitioner is entitled to deemed excise credit particularly when under sub-section 3 of Section 29 his liability will continue even after cancellation of registration. It will be wholly unfair if petitioner ends up having to forgo the deemed excise credit of a substantial amount of Rs.39,13,025/-.
• Hence, Petitioner shall submit application for restoration of registration and Revenue post granting the registration is directed to ensure that the portal is open in such a way that petitioner will be able to apply for migration under TRAN-1 and TRAN-2 before 30th November 2022. Further, if online restoration is not possible, the order will be passed manually and the Nodal Officer shall forward all those documents to GSTN and GSTN shall consider the said order as if filed online/properly filed and give effect to that in its portal. if it is not resolved by 28th November 2022, petitioner is permitted to file manually for migration of TRAN-1 and TRAN-2 and the Nodal Officer shall consider the same.
• As seen from the submissions of the petitioner there is no provision for application for revocation of the cancellation of registration or restoration of the registration in circumstances similar to the case at hand. Hence it is held that the window for TRAN-1 and TRAN-2 migration will be open till 30th November 2022. During such period all the necessary action to be taken so that the petitioner can file TRAN-1.