Page 75 - GSTL_27th August 2020_Vol 39_Part 4

2020 ] SOTHEBY’S ART SERVICES (I) PVT. LTD. v. UNION OF INDIA 401
tion dated 4-12-2019 with the Nodal Officer i.e. respondent No. 5, Joint Commis-
sioner of State Tax, 5th Floor, GST Bhawan, Mazgaon, Mumbai, seeking the carry
forward of Cenvat credit amount of Rs. 47,96,627.00 as input tax credit under the
GST regime in the electronic credit ledger of the petitioner. He submitted that the
Nodal Officer (respondent No. 5) forwarded the petitioner’s application to the
respondent No. 6 i.e. Joint Commissioner of State (EIU), Economic Intelligence
Unit, C Wing, Old Building, GST Bhavan, Mazgaon, Mumbai-400 010 for neces-
sary action. He submitted that thereafter there has been no resolution of the said
grievance.
8. We have heard the Learned Counsels appearing for the petitioner
and the Learned Government Pleader appearing on behalf of the respondents.
9. At the outset, we feel it apposite to highlight the provisions of Sec-
tion 140(1) and Rule 117(1) which is the transitional provision provided for carry
forward of Cenvat credit from the erstwhile regime to the new GST regime.
Section 140(1) of the CGST Act reads thus :
“140. Transitional arrangements for input tax credit. - (1) A regis-
tered person, other than a person opting to pay tax under section 10, shall be
entitled to take, in his electronic credit ledger, the amount of CENVAT credit of el-
igible duties carried forward in the return relating to the period ending with the
day immediately preceding the appointed day, furnished by him under the existing
law in such manner as may be prescribed :
Provided that the registered person shall not be allowed to take credit
in the following circumstances, namely :-
(i) Where the said amount of credit is not admissible as input tax
credit under this Act; or
(ii) Where he has not furnished all the returns required under the
existing law for the period of six months immediately preced-
ing the appointed date; or
(iii) Where the said amount of credit relates to goods manufac-
tured and cleared under such exemption notifications as are
notified by the Government...”
Rule 117(1) of the CGST Rules reads thus :
“117. Tax or duty credit carried forward under any existing law or on
goods held in stock on the appointed day. - (1) Every registered person
entitled to take credit of input tax under section 140 shall, within ninety
days of the appointed day, submit a declaration electronically in Form GST
TRAN-1, duly signed, on the common portal specifying therein, separately,
the amount of input tax credit of eligible duties and taxes, as defined in Ex-
planation 2 to section 140 to which he is entitled under the provisions of the
said section :
Provided that the Commissioner may, on the recommendations of the
Council, extend the period of ninety days by a further period not exceeding
ninety days.
Provided further that where the inputs have been received from an Export
Oriented Unit or a unit located in Electronic Hardware Technology Park,
the credit shall be allowed to extent as provided in sub-rule (7) of Rule 3 of
the CENVAT Credit Rules, 2004.

GST LAW TIMES  27th August 2020  75