Bombay HC Permits Assessee to Correct GSTR-1 Bonafide Error

The Bombay High Court discussed a petition for the rectification of Form GSTR-1 for the fiscal year 2017-2018. The applicant, NRB Bearings Ltd., sought revisions to correct clerical errors and enable the claiming of the input tax credit (ITC) amounting to Rs. 64,36,188.

Detailed Analysis in the Case of NRB Bearings Ltd

NRB Bearings Ltd. has approached the jurisdictional officer to correct invoice information in GSTR-1 for December 2019. At the time of operation, the applicant has received confirmation from job workers, confirming non-claiming of ITC. An application was filed before the Central Jurisdictional Commissionerate for credit disallowance due to mismatches between GSTR-3B and GSTR-1.

The applicant specified that Maharashtra State Circular No. 02A of 2022, addresses problems revolving around ITC claims. From a Chartered Accountant, they received certification, ensuring GST payment for the disputed transaction. The related authority provides no answer.

Claiming that no provision is there under the CGST Act or Rules to amend real errors in GSTR-1 without revenue implications, the petitioner asks for relief established on the precedent set in M/s. Star Engineers (I) Pvt. Ltd. vs. Union of India & Ors. Technicalities must not restrict legitimate rectifications that don’t result in loss of revenue, the court ruled for the same case.

Closure: The Bombay High Court judged in favour of NRB Bearings Ltd., permitting the amendment of Form GSTR-1 for the FY 2017-2018. The decision highlights the significance of easing honest rectifications to assure compliance with GST rules and prevent errors caused accidentally that result in negative effects.

Case Title	NRB Bearings Ltd Vs. TheCommissioner of State Tax
Citation	WRIT PETITION NO. 10771 OF 2023
Date	14.02.2024
For the Petitioner	Mr. Dev Shanmuga i/b. Mr. Sriram Sridharan
For the Respondent	Mr. Karan Adik a/w. Mr. Ram Ochani
Bombay High Court	Read Order