The eligibility for input tax credit under Sec.16(5) supersedes deadlines set in Sec.16(4) if returns are filed timely.

J U D G M E N T

The petitioner is an assessee under the provisions of CGST/SGST Act 2017. The grievance highlighted by the petitioner is against the denial of input tax credit claimed by the petitioner, as per Ext.P1 order of assessment, pertaining to the year 2018-2019, on the reason that, the petitioner failed to submit the returns within in the period stipulated under Sec.16(4) of the CGST Act . According to the petitioner, the petitioner is entitled to get the benefit under Sec.16(5) of the CGST Act , in view of the fact that the petitioner submitted the return for the month of November, 2018 to March, 2019 within the cutoff date contemplated under Sec.16(5) of the Act, i.e, 30.11.2021.

2. After hearing the learned counsel for the petitioner and the learned Government Pleader, I find merits in the said submission.

3. The learned counsel for the petitioner made available the returns submitted by the petitioner in respect of the period referred to above, which would indicate that, all the said retruns were filed on 06.11.2019. In such circumstances, in the light of statutory stipulations contained in per Sec.16(5), the petitioner is entitled to the benefit.

4. This is particularly because, Sec.16(5) starts with the wordings “Notwithstanding anything contained in Sub Sec.4" and this would mean that, once the returns are filed within the statutory period contemplated under Sec.16(5), the timeline contemplated under Sec.16(4) losses its significance. Therefore, an interference is required as the petitioner is entitled to get input tax credit in the Sec.16(5).

Accordingly, this writ petition is disposed of, quashing Ext.P1, to the extent it denies the input tax credit for non- complaince of Sec.16(4) with a direction to the 1st respondent to reconsider the matter and grant the benefits under Sec.16(5) of the CGST Act , if the petitioner is otherwise entitled to the same. Necessary orders in this regard shall be passed within a period of three months from the date of receipt of copy of this judgment, after affording an opportunity of hearing to the petitioner.