Order Date – 23 January 2025

Parties: Mellow Foundation Builders and Developers Pvt Ltd Vs Superintendent, Central Tax and Central Excise, Goods and Service Tax Network (GSTN), Union of India, Ministry of Finance, Government of India

Facts –

• The petitioner, Mellow Foundation Builders and Developers Pvt Ltd, filed GSTR-3B for the period from November 2018 to March 2019 on 26.11.2019, whereas, as per Section 16(4), the deadline was 20.10.2019.
• An order was issued after denying the benefit of input tax credit on account of the provisions contained in sub-section (4) of Section 16 of the CGST/SGST Act, due to the failure of the petitioner to file Form GSTR-3B within the time prescribed for the year 2018-19.

Issue –

• Whether the denial of Input Tax Credit (ITC) to the petitioner for the financial year 2018-19 due to the late filing of GSTR-3B was justified?

Order –

• The Single Bench of Hon’ble High Court observed that after the introduction of Section 16(5), the time period for filing such returns has been extended upto 30.11.2021. If the return filed by the petitioner is taken into reckoning, there could be significant change in the appreciation of facts carried out in Ext.P1.
• In view of the above, the impugned order cannot be legally sustained, and it is required to be re-considered. Accordingly, impugned order is set aside and directed to pass fresh orders  after taking note of the provisions contained in Section 16(5) of the CGST/SGST Act and after affording an opportunity of hearing to the petitioner.