Transaction credits of Education Cess and Agricultural Welfare Cess amount are available.

Under the GST Act, the Annual Letter and Audit Reconciliation was extended from 1 December to 5 January for the financial year 1-3. In fact, the details of the business that have been demanded remain empty. Occasionally, due to the feat of the GST portal, the business world has many problems. On the one hand, messages were sent for filling up the form GSTR૩B sooner but the new modified GSTR૯C's form could not be brought to this day as every time the trader left the business of GST Portal, he would have to be in the position of filling the forms.

Well, the person who ate the onion only knows its value. The GST Act came true but when the amount of money used by the previous laws or the transaction credit of the taxes paid under the old laws was rejected by the authorities and the demand was made, the GST law was now more than two years old but it was still related to transit tax. The dispute does not end. Which recently honored Madras State. Sutherland Global Services Pvt. Ltd. (Writ Petition No 1 of 2) An interesting judgment is given on 1-2-4 which is discussed in today's article.

The fact of the case

Applicant Company IT Providing services related to the field, it is natural that under the revoked service tax law, the tax collector and the service tax, education cess, agricultural welfare cess and the secondary and higher education cess are taxed. The GST Act came into effect from July 1 and the Transaction Credit is eligible under Article 1. The applicant had unused balance of unused education cess, secondary and higher education cess and agricultural welfare cess which was claimed as transition credit. A letter has been sent to the applicant by the field officer suggesting that all these taxes be rejected and the amount paid is offended. Petition filed before Madras High Court

Applicant's submission

The company argued that GST did not make any provision in section 3 of the law that the amount of the transaction cannot be sought. Further, there was no provision or paper in the previous law that the amount of education cess, secondary and higher education cess and agricultural welfare cess should be lapsed and considered canceled. Further, the claim of the levy is applicable to Articles 1 (2) and 2 (1) of the GST Act but when it is sought as a Transaction Credit to the unused Veraksha of the law, it falls under Sections 1 (2) and (3).

Government arguments

The Government emphasizing Article 4 of the GST Act, submitted that the right to taxation is not a vested right and only if there is a provision in the law, taxation can be obtained. There is no provision for use of this amount anywhere in Article 2 of the GST law. The provision to consume this amount was also changed at the time of the Education Cess Secondary and Higher Education Cess and the Agricultural Welfare Cess Act was abolished so that no amount of transmission credit can be obtained.

Respect. Judgment of the High Court

Respect. The High Court noted that the government did not make any provision that the amount disputed was lapsed. Honor interpreting Articles 1 (2) and (2) of the GST Act. The High Court has determined that the Transaction Credit is payable on the rolls forwarded in the form, which are filled in and displayed before the due date. In addition, the ban under Senate Rule 1 (2) (b) went away with the implementation of the GST law. No provision has been shown by the government in which the law for removing the disputed amount as transaction credit is not removed. Thus, the Transaction Credit of the amount of Education Cess, Secondary and Higher Education Cess and Agricultural Welfare Cess as stated in the Applicant's appeal should be obtained.

In order to receive the tax deduction of the amount which has been lost since the verdict came today, many disruptions have been passed to the trader in the service tax excise audit of Nadaun and the order has been passed which has not even been appealed. Based on this verdict, no officer shall give the trader the opportunity to avail himself without appeal before the High Court for taxation, after applying to the nodal officer and the field officer, the amount will be levied for tax evasion. The proper decision has to be taken on the issue.