Modification of the procedure for interception of conveyances for inspection of goods in movement,' and detention, release and confiscation of such goods and conveyances, as clarified in GST Circular No. 05/2018 dated 26.04.2018 issued by this office and notification issued by CBIC No. 49/23/2018-GST dated 21.06.2018. - GST - States - GST Circular No. 8/2018

Rajasthan Government Commercial Tax Department F.17(134) ACCT/GST/2017/3877 Date: 26.09.2018 GST Circular No. 8/2018 All Joint Commissioner (Adm.), Commercial Taxes Department, Subject: Modification of the procedure for interception of conveyances for inspection of goods in movement, and detention, release and confiscation of such goods and conveyances, as clarified in GST Circular No. 05/2018 dated 26.04.2018 issued by this office and notification issued by CBIC No. 49/23/2018-GST dated 21.06.2018. Various representations have been received seeking clarification on issues relating to imposition of penalty in case of minor 4iscrepancies in the details mentioned in the e-way bill although there are no major lapses in the invoices accompanying the goods in movement. 2. The procedure for interception of conveyances for inspection of goods in movement, and detention, release and confiscation of such goods and conveyances was clarified vide GST Circular No. 05/2018 dated 26.04.2018 was specified. 3. In order to clarify these issues and to ensure uniformity in the implementation of the provisions of law across the field formations, in exercise of powers conferred by section 168 (1) of the Rajasthan Goods and Services Tax Act, 2017, hereinafter referred to as RGST Act , following clarifications are issued. 4. Section 68 of the RGST Act read with rule 138A of the Rajasthan Goods and Services Tax Rules, 2017 (hereinafter referred to as the RGST Rules ) requires that the person in charge of a conveyance carrying any consignment of goods of value exceeding Rs. 50,000/- should carry a copy of documents viz., invoice/bill of supply/delivery challan/bill of entry and a valid e-way bill in physical or electronic form for verification. In case such person does not carry the mentioned documents, there is no doubt that a contravention of the provisions of the law takes place and the provisions of section 129 and section 130 of the RGST Act are invocable. Further, it may be noted that the non-furnishing of information in P art B of FORM GST EWB-01 amounts to the e-way bill becoming not a valid document for the movement of goods by road as per Explanation (2) to rule 138(3) of the RGST Rules, except in the case where the goods are transported for a distance of upto fifty kilometres from within the State or from the place of business of the transporter to the place of business of the consignor or the consignee, and where goods are transported for a distance of upto fifty kilometres for the purpose of job work as provided in notification No. F.17(131)ACCT/GST/2017/3343 dated 08.08.2018. 5. Whereas, section 129 of the RGST Act provides for detention and seizure of goods and conveyances and their release on the payment of requisite tax and penalty in cases where such goods are transported in contravention of the provisions of the CGST Act or the rules made thereunder, It has been informed that proceedings under section 129 of the RGST Act are being initiated for every mistake in the documents mentioned in para 3 above. It is clarified that in case a consignment of goods is accompanied by an invoice or any other specified document and not an e-way bill, proceedings under section 129 of the RGST Act may be initiated. 6. Further, in case a consignment of goods is accompanied with an invoice or any other specified document and also an e-way bill, proceedings under section 129 of the RGST Act may not be initiated, inter alia, in the following situations: a) Spelling mistakes in the name of the consignor or the consignee but the GSTIN, wherever applicable, is correct; b) Error in the pin-code but address of the, Consignor and the consignee mentioned is correct, subject to the condition that the error in the PIN code should not have the effect of increasing the validity period of the e-way bill; c) Error in the address of the consignee to the extent that the locality and other details of the consignee are correct; d) Error in one or two digits of the document number mentioned in the e-way bill; e} Error in 4 or 6 digit level of HSN where the first 2 digits of HSN are correct and the rate of tax mentioned is correct; f) Error in one or two digits/characters of the vehicle number. 7. In case of the above situations, penalty to the tune of Rs. 500/- each under section 125 of the CGST and RGST Act should be imposed (Rs.1000/- under the IGST Act) in FORM GST DRC-07 for every consignment. A record of all such consignments where proceedings under section 129 of the RGST Act have not been invoked in view of the situations listed in paragraph 5 above shall be sent by the proper officer to his Controlling officer on a weekly basis, (Alok Gupta) Commissioner, State Taxes, Rajasthan, Jaipur