Order date – 02 September 2022

Facts – 

• The Petitioner, MAHARAJA CABLES (C/O MAXWELL LOGISTIC PVT LTD), a private company engaged in the business of copper cables, entered into an agreement with one M/s Bajaj Electricals Ltd. for supply of certain goods.
• As per the agreement, the goods had to be delivered at the factory at Bhopal. The petitioner generated an E-way bill which is required to be carried along with the consignment.
• However, the address on the E-way bill was mentioned at registered office of the consignee at Indore, instead of Bhopal and thus, the Revenue Authorities initiated proceedings under Section 129 of Central Goods and Service Tax Act, 2017 which ultimately resulted in passing of the order by which the liability of additional tax as well as penalty was imposed against the petitioner and the appeal against the said order was also dismissed.
• Petitioner submits that the mistake while generating E-way bill was an inadvertent human error and there was no intention to evade the tax liability.
• Therefore, the petition was being filed by the petitioner.

Issue – 

• Whether the petitioners are liable to pay additional tax as well as penalty for a clerical mistake in e-way bill?

Order – 

• The Court observed that the mistake in question is bonofide, therefore by invoking the principle of parity, directed that the impugned orders dated 05.09.2019 is quashed. 
• Further, it was directed that the respondents will be at liberty to consider the case of the petitioner for imposition of a minor penalty, while treating the mistake in question, to be a clerical mistake as per Circular dated 14.09.2018 bearing No.CBEC/20/16/03/2017-GST, issued by Ministry of Finance, Government of India. 
• Consequently, the writ petition was allowed.