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2023 (7) TMI 1004 - JHARKHAND HIGH COURTIrregular availment of transitional credit - current management was a taxpayer, or not, during the period of procurement of inputs or capital goods as availed in the TRAN-1 - obligation of past, on a new management - dues prior to the date when resolution plan was approved - HELD THAT:- After going through the relevant portion of the impugned order it can be safely held that the adjudicating authority was correct in holding that as the Apex Court in the case of Ghanshyam Mishra and Sons Private Ltd. [2021 (4) TMI 613 - SUPREME COURT] was of the view that the current management was not a taxpayer for the period prior to 04.06.2018. i.e., the date of change of management and therefore the liability of the earlier management should not be shifted to the current management. Likewise, the credit available to the earlier management will also not be available to the current management as the current management was not a taxpayer during the period of procurement of inputs or capital goods as availed in the TRAN-1 filed on 30.11.2022. Nevertheless, at the last portion of the order it misdirected itself in holding that the whole amount taken as transitional credit is liable to be recovered along with applicable interest and penalties. This part of the order is certainly against the ratio of the judgments passed by the Hon’ble Apex Court in the case of Ghanshyam Mishra and Sons Private Ltd. as such, the same requires interference. The petitioner can also not take credit of the ITC of the earlier period i.e., prior to 17.04.2018 (Annexure-1); the date on which the National Company Law Tribunal has approved the resolution plan of the Petitioner. Hence, the petitioner is not entitled to claim of Rs. 92,13,412/- which has been claimed by the Petitioner as Transitional credit by filing new TRAN-1 in light of the Order passed by Hon’ble Supreme Court in the case of Union of India Vrs. Filco Trade Centre Put. Ltd. [2022 (7) TMI 1232 - SC ORDER]. Application allowed in part.
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