Rule 41A of the CGST Rules, 2017 — ITC-02A return – The petitioner assailed the action of the respondent Department whereby, the petitioner was deprived from submitting the Form GST ITC-02A online and as a consequence, the petitioner was deprived from availing the ITC of Rs. 2,58,03,590/- through Form GSTR-3B. The petitioner submitted that Prior to 01.02.2019, a person having various business verticals within a State, was not entitled to seek separate registrations for multiple places of business. After the amendment dated 01.02.2019, separate registrations as per location of business were allowed and accordingly, the tax liability as well as ITC would be calculated individually for each unit. Rule 41A was introduced vide notification dated 29.01.2019 and Form GST ITC-02A was prescribed which was to be submitted on the GSTN Portal within a month of obtaining the new registration. The petitioner submitted that Form GST ITC-02A was not available on the GSTN Portal for the entire period of 30 days from the registration of its separate business verticals and even till the date of filing of the petition and as a consequence, he could not transfer the unutilized ITC to its new registration. The petitioner submitted a manual copy to the department on 14.05.2019 but the same was not accepted. The petitioner also raised this issue with the GST Helpdesk. The court observed that the petitioner was genuinely and bonafidely prevented from uploading the return. The petitioner manually submitted the form to the to the respondent within the prescribed period of 30 days. The impugned action of the respondents have failed to acknowledge and transfer the ITC accruing to the petitioner in accordance with Rule 41A, is grossly illegal, arbitrary and unjust.

Held that:- The Hon’ble High Court allowed the petition and directed the respondents to regularise the ITC in favour of the petitioner as per entitlement. The petitioner shall be allowed to avail the ITC of Rs. 2,58,03,590/- through the next GSTR-3B return.