“IT Grievance Redressal Mechanism under GST”

The impact of the introduction of Goods and Service Tax was far-reaching on almost all the aspects of the business operations in India. The GST system being entirely based on IT infrastructure soon became a curse for many taxpayers facing many technical glitches by GST Network – the IT backbone of the new indirect tax system.

The issues faced were myriad such as ranging from login errors, technical glitches to technological issues in the network leading to multiple extensions of deadline. The government had previously acknowledged the problems of online filing of GST returns in the GST Councils meetings and has now decided to set up “IT Grievance Redressal Mechanism”.

The details of the said grievance redressal mechanism vide Circular No. 39/13/2018-GST dated 03.04.2018 is provided below:

1.     It is on the taxpayer to identify and establish the IT related glitch faced by them in the form of collateral evidences.

2.     The localised issues such as non-availability of internet connectivity or failure of power supply will not be available or previewed under IT related glitch.

3.     Taxpayers will make an application to the field officers or the nodal officers in the respective jurisdiction of the taxpayers.

·        The taxpayer will enclose evidences as may be needed to establish the fact that bonafide attempt was made on the part of the taxpayer.

·        These applications thereafter will be forwarded to GSTN for further examination.

·         On verification, GSTN will forward the same to the IT Grievance Redressal Committee with suggested solutions for resolution of the problem.

4.     Where an IT related glitch has been identified as the reason for failure of a taxpayer in filing of a return, the consequential fine and penalty would be waived.

Resolution of stuck TRAN-1s and filing of GSTR-3B

1.      The Government has acknowledged the fact that large numbers of TRAN-1s are stuck in the system as they could not be "digitally authenticated" before or on 27.12.2017 due to IT-glitch, will now be provided another chance to do so.

2.     On receiving such application, the GSTN will identify such taxpayers who could not file TRAN-1 on the basis of electronic audit trail.

3.     Taxpayer would not be allowed to amend the amount of credit in TRAN-1 recorded earlier.

4.     The last day for the process of filing of TRAN 1 is on or before 30th April 2018.

5.      The process of completing filing of GSTR 3B which could not be filed for such TRAN 1 should be completed by 31st May 2018.