Proceedings to be initiated u/s 73/74 if owner of goods didn’t come forward to pay penalty u/s 129: HC
- Blog|News|GST & Customs|
- < 1 minute
- By Taxmann
- |
- Last Updated on 12 December, 2022
Latest from Taxmann
Case Details: Bharti Airtel Ltd. v. State of U.P - [2022] 145 taxmann.com 326 (Allahabad)
Judiciary and Counsel Details
-
- Pankaj Bhatia, J.
- Manju Lata Mishra & Ashish Mishra for the Petitioner.
- C.S.C. for the Respondent.
Facts of the Case
The goods and vehicle were detained by the department and show cause notice was issued under section 129(3). However, the goods and vehicles were released on furnishing bank guarantee. It submitted reply to the notice and department issued order imposing tax liability and penalty. It contended that department didn’t serve copy of order and it was unable to file appeal. Therefore, the writ petition was filed challenging the validity of order under Section 129.
High Court Held
The Honorable high Court noted that in the present case Tax liability had been determined and penalty imposed under Section 129 of CGST Act. However, there is no power to determine the penalty payable under Section 129 as it can be done only in terms of the mandate of Section 122 of the CGST Act. The Court also noted that the department is empowered to initiate proceedings under Section 73 or Section 74 of CGST Act read with Section 122 if owner of goods does not come forward to pay penalty under Section 129. Thus, it was held that the impugned orders were not sustainable and amount paid for release of goods was directed to be refunded to petitioner.
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
