Parking attendants issued Dennistoun resident Sean Kelly with a Penalty Charge Notice more than 10 minutes before the restrictions came into place.
The 36-year-old IT worker had parked his black Volkswagen overnight in Golfhill Drive, near his home in the east of Glasgow on March 28.
In the morning when he was leaving for work shortly before 9am, he noticed wardens patrolling the streets.
His car was issued with the fine at 8.46am.
However, the parking restrictions do not come until place on the street until 9am and are in place until 5pm.
The fine is £60, however drivers can pay £30 within 14 days of receiving the ticket.
Mr Kelly did not pay the charge and he was told it was being investigated.
The council told the Evening Times yesterday that the fine was being withdrawn.
Mr Kelly said: "I told the wardens about the times, and that the ticket was nonenforceable, that they were in error - but they didn't listen to me.
"The traffic wardens also issued these illegal tickets to other people, and I've seen them wandering around Dennistoun between 8.30am and 9am before issuing tickets."
Mr Kelly got in touch with local councillors in a bid to raise the issue.
He said: "I'm very disappointed at the whole situation. It just seems like the council is out to make money out of drivers even when they haven't done anything wrong.
"And if they are doing this on purpose in this area and other parts of the city then that is very serious."
East Centre SNP councillor Jennifer Dunn said: "This should not have happened and I think the council should look into its procedures."
A Glasgow City Council spokesman said: "Mr Kelly's penalty charge notice was issued in error by the parking attendant. It is being cancelled with an apology for any inconvenience."