Consignor Would Be Deemed to Be Owner of Goods If the Invoice Mentions the Consignor’s Name and Same is Not Challenged | HC
- Blog|News|GST & Customs|
- 2 Min Read
- By Taxmann
- |
- Last Updated on 17 December, 2024
Latest from Taxmann
Case Details: Ram Enterprises v. State of U.P. - [2024] 169 taxmann.com 180 (Allahabad)
Judiciary and Counsel Details
- Vipin Chandra Dixit & Shekhar B. Saraf, JJ.
- Aditya Pandey for the Petitioner.
- C.S.C. for the Respondent.
Facts of the Case
The petitioner was aggrieved by the demand of penalty order passed under Section 129(1)(b) of the Central Goods and Services Tax Act, 2017.The authorities have not challenged the invoice and/or e-way bill produced by the petitioner. Neither have they questioned the fact of purchase of the areca nuts from a third party, which was then being supplied by the petitioner to the consignee.
The petitioner also relied on Circular No. 76/50/2018-GST, dated December 31, 2018, which states that if the invoice or any other specified document is accompanying the consignment of goods, then either the consignor or the consignee should be deemed to be the owner.
High Court Held
The Allahabad High Court noted that the authorities were bound by the aforesaid circular dated 31-12-2018. Further, in the case of Halder Enterprises v. State of U.P. [2023] 157 taxmann.com 231, it was held that if the invoice mentions the name of the consignor, the consignor shall be deemed to be the owner.
This, the Court held that the impugned order was illegal and unjustified. The same was to be quashed and set aside with a direction to pass an order under section 129(1)(a) and thereafter release goods and vehicle upon payment of penalty in accordance with law.
List of Cases Reviewed
- Halder Enterprises v. State of U.P. [2023] 157 taxmann.com 231/[2024] 101 GST 313/2024 (80) G.S.T.L. 357/(2023) 13 Centax 144 (All.) (para 4) followed.
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
CA | CS | CMA
