GST
TRT-2025-
High court of Allahabad
Date:-17-09-25
In:-
Issue Favourable to Tax Payer ?:-
Order date: 17 Sept 2025
Parties: Nippon Tubes Limited v. State of U.P. & Ors.
Facts -
- Petitioner purchased four HR coils from SAIL, Ghaziabad—two for its own unit and two for a job worker.
- E-way bill was generated only for coils meant for petitioner’s manufacturing unit.
- Vehicle was intercepted after dropping coils at job worker’s premises; authorities detained goods under Section 129(3) of CGST/UPGST Act. The Appeal filed by petitioner was dismissed.
Issue -
- Whether penalty under Section 129(3) is justified when goods are moved to a job worker without a delivery challan or e-way bill?
Order -
- The single bench of the Hon’ble High Court noted that Rule 45 and Rule 55 of the CGST Rules require both a delivery challan and e-way bill for movement of goods to a job worker.
- Since no such documents accompanied the goods, the authorities acted within jurisdiction in detaining and penalising.
- Reliance placed on M/s Famus India v. State of U.P. confirming strict adherence to documentation rules.
- Petition was dismissed; penalty sustained as legally valid.
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