Page 33 - GSTL_23rd July 2020_Vol 38_Part 4

2020 ] CORPORATE DEBTOR UNDER GST — A NEW LIFELINE IN LIGHT OF GST LAWS J91
Input Tax Credit [Notification No. 11/2020-C.T., dated 21-3-2020 (Pt. No.
4) read with C.B.I. & C. Circular No. 134/04/2020-GST, dated 23-3-2020 (Pt. Nos.
6 & 7)] :
(a) The registered person shall be eligible to avail ITC for the
supplies received during the period from the date of com-
mencement of CIRP, even though such supplies are bearing
the GSTIN of the erstwhile registered person, subject, of
course, to the usual conditions for availing ITC under Chap-
ter V of the CGST Act, 2017. Likewise, those persons who
have acquired goods or services from the erstwhile registered
period shall get input tax credit, subject to usual conditions.
Further, the provisions of Section 16(4) of CGST Act, 2017
w.r.t. last date to claim ITC and sub-rule (4) of Rule 36 of the
CGST Rules, 2017 w.r.t. restriction on availment of ITC is not
applicable in this case.
KSAA Analysis
(i) The restriction, conditions, time-limit for availing ITC under
GST is prescribed under Chapter V of the CGST Act, 2017.
Chapter V of the Act, states that ITC of inputs held in stock
and semi-finished and finished goods held in stock only can
be availed in case where the invoices are issued before the ef-
fective date of registration, but the same shall be subject to
the conditions under Section 16(1) of the CGST Act, 2017.
However, the said Chapter V never speaks of availing ITC
based on a different GSTIN, i.e., in the present case erstwhile
GSTIN. Since, the notification gives IRP/RP status of a dis-
tinct person than the Corporate Debtor, both the GSTIN shall
be different in the eyes of the law though having same PAN
and therefore, availing ITC having GSTIN of the Corporate
Debtor while filing returns under the new GSTIN taken by
IRP/RP cannot by implication serve the purpose of availing
ITC in the books of Corporate Debtor. If the intent of the said
notification is to give relief to the specific class of person then
appropriate amendment shall be carried out.
Payment [Notification No. 11/2020-C.T., dated 21-3-2020 (Pt. No. 5) read
with C.B.I. & C. Circular No. 134/04/2020-GST, dated 23-3-2020 (Pt. No. 8)] :
(a) Any payment of tax by the IRP/RP in the existing registra-
tion from the date of appointment of IRP/RP to the date of
registration under the above mentioned notification shall be
available as refund under the head refund of cash ledger,
even though the relevant FORM GSTR-3B/GSTR-1 is not
filed for the said period. The instructions contained in C.B.I.
& C. Circular No. 125/44/2019-GST, dated 18-11-2019 [2019
(30) G.S.T.L. C44] stands modified to this extent.
Dues under GST for pre-CIRP period [C.B.I. & C. Circular No.
134/04/2020-GST, dated 23-3-2020 (Pt. No. 1)] :
(a) As per the circular, no coercive action needs to be taken
against the corporate debtor with respect to the dues for peri-
od prior to insolvency commencement date. The dues of the
period prior to the commencement of CIRP will be treated as
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