GST
TRT-2025-
Madras High Court
Date:-18-08-22
In:-
Issue Favourable to Tax Payer ?:-
Order Data: 18 August 2022
Key Pointers-
- The Petitioner, COLGATE PALMOLVIE (INDIA) LIMTED filed a writ petition and submitted that the goods along with vehicle were detained on the ground that same was not covered by valid documents.
- The impugned order being alleging that same was not covered by valid documents, however the petitioner denied the allegations made. The petitioner has been granted liberty to challenge the demand of tax and penalty, before the first Appellate Authority.
- Whether seeking the permission to furnish bank guarantee in terms of Section 129(1) (a) of the Act by the petitioner is sustainable?
- The Single Bench of Hon’ble High Court observed that the provisions of Section 129 of the Central Goods and Services Tax Act, 2017 dealing with detention, seizure and release of goods and conveyances in transit, permit the release of the goods upon payment of penalty, equal to 200 percent.
- The Court further observed that the petitioner, on instructions, submits that the petitioner is willing to furnish a bank guarantee, in terms of the provisions of Section 129(1) (a) of the Act and the learned Government Advocate, on instructions, would submit that nothing stands in the way of the respondent accepting the bank guarantee.
- The petitioner is granted liberty to furnish bank guarantee in terms of Section 129(1) (a) of the Act, upon furnishing of which impugned order will stand quashed and directed to release the consignment within 48 hours.
- Hence the writ petition is disposed of.
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