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2022 (5) TMI 862 - GUJARAT HIGH COURTSeeking provisional release of goods and conveyance - suspicious transaction involving fake input tax credit - Power and jurisdiction u/s 129 versus u/s 130 - Delinking the two provisions - Whether the respondent authority is entitled to seize and detain the goods in transit and the conveyance, more particularly, when it is accompanied by a lawful e-way bill, invoices and without determining and offering the writ applicant opportunity to deposit tax, if any and penalty, the respondent authority were justified to distinctly proceed for confiscation proceedings by issuing notice under section 130 of the Act, 2017? - HELD THAT:- Both sides have raised substantial legal issues regarding amendment made in various section of the Act, 2017 which is required to be considered after hearing respective parties on length. However, on ensuing summer vacation, time is constrain. For the reasons aforesaid, we are inclined to admit these matters. Hence, rule returnable on 23.06.2022. Seeking provisional release of goods - sub-clause (3) of section 129 of GST Act - HELD THAT:- If after adjudging proceedings under section 130 of the Act, ultimately if the proper officer finds any contravention with intention to evade tax, the question of Fine may also arose in addition to the tax payable, penalty and other charges, and if not realized then the proper officer will be required to proceed for confiscation and auction of the goods and conveyance so detained. The Court has to strike balance as against the prayer of provisional release of goods and conveyance vis-a-vis securing revenue interest pending adjudication of confiscation proceedings. The respondent authorities are directed to provisionally release the goods and conveyance subject to the condition that the writ applicant shall deposit the total amount payable, including penalty, as determined by the respondent authority within period of one week from date of receipt of this order and upon realisation of such amount, the respondent authority shall forthwith release such goods and conveyance - petition disposed off.
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