GST: Madras HC quashes ITC Denial for Late GSTR-3B Filing Citing Retrospective CGST Act Amendment [Read Order]
The Court had observed genuine difficulties like the COVID-19 lockdown, health issues, and fire accidents, which led to the delay in filing GSTR-3B and the consequent reversal of ITC claims
![GST: Madras HC quashes ITC Denial for Late GSTR-3B Filing Citing Retrospective CGST Act Amendment [Read Order]](https://www.taxscan.in/wp-content/uploads/2025/04/Madras-HC-Madras-HC-Quashes-ITC-Denial-for-Late-GSTR-3B-Filing-ITC-GSTR-3B-Filing-taxscan.jpg "GST: Madras HC quashes ITC Denial for Late GSTR-3B Filing Citing Retrospective CGST Act Amendment [Read Order]")
The High Court of Madras,quashed the denial of Input Tax Credit (ITC) for late filing of GSTR-3B, citing the retrospective amendment to the Central Goods and Service Tax(CGST) Act,2017. Shanker Impexx,petitioner-assessee,had challenged the order passed by the first respondent on 19.04.2023.The petitioner’s counsel stated that the issue had already been settled by the Court in a batch...
The High Court of Madras,quashed the denial of Input Tax Credit (ITC) for late filing of GSTR-3B, citing the retrospective amendment to the Central Goods and Service Tax(CGST) Act,2017.
Shanker Impexx,petitioner-assessee,had challenged the order passed by the first respondent on 19.04.2023.The petitioner’s counsel stated that the issue had already been settled by the Court in a batch of writ petitions, including W.P. No. 25081 of 2024, dated 17.10.2024, and requested the same relief.
The Government Pleader confirmed that the matter was covered by the earlier decision.
Justice Krishnan Ramasamy, noted that the issue raised in this Writ Petition had already been addressed in a batch of petitions, including W.P. No. 25081 of 2024, decided on 17.10.2024.
In that case, the bench observed that although the petitioners had filed their GSTR-1 returns on time, they could not file GSTR-3B due to genuine difficulties like financial issues during the COVID-19 lockdown, health problems, and fire accidents. As a result, they missed the deadline to claim ITC, which led to the reversal of their claims and demand for tax, interest, and penalty.
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Later, based on the 53rd GST Council Meeting held on 22.06.2024, the government extended the deadline for claiming ITC for FYs 2017-18 to 2020-21 to 30.11.2021. This change was given retrospective effect through the Finance Act (No. 2) of 2024, and further clarified by official notifications and circulars.
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Taking these developments into account, the Court quashed the earlier orders, directed the Department not to proceed on the issue of limitation, and ordered de-freezing of bank accounts. It also allowed refund or adjustment of any amount already recovered.
Since the present case involved the same issue, the bench allowed the Writ Petition on the same lines.
To Read the full text of the Order CLICK HERE
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