U.S.Girish vs. The State Tax Officer
Held
The High Court held that the Proper Officer's finding of an intention to evade tax, based on the absence of mandatory documents and surrounding circumstances, is a finding of fact that cannot be interfered with under Article 226 unless perverse. The Court noted that the petitioner had an efficacious remedy of appeal under Section 107 of the Act for disputed factual questions.
Facts
A gold jewellery dealer's ornaments were seized by the GST department for not carrying a delivery challan, leading to confiscation proceedings under Sections 129 and 130 of the CGST Act. The Proper Officer issued a confiscation order (Ext.P5) and a final intimation (Ext.P6) for the sale of the confiscated goods, concluding an intention to evade tax.
Key Issues
Whether the confiscation proceedings under Section 130 were valid solely for the omission to carry a delivery challan, and if the Proper Officer's finding of 'intention to evade tax' could be challenged in a writ petition under Article 226.
Sections Cited
Section 130, Section 129, Section 31, Rule 55, Section 130(7), Section 107
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS MONDAY, THE 25TH DAY OF OCTOBER 2021 / 3RD KARTHIKA, 1943 WP(C) NO. 9992 OF 2021 PETITIONER: U.S.GIRISH PROPRIETOR, M/S. S.G.DIAMONDDS AND JEWELLERS, 715-716, KRISHNA STREET, EDAYAR STREET, COIMBATORE, TAMIL NADU-641001. BY ADVS. SRI.HARISANKAR V. MENON SMT.MEERA V.MENON RESPONDENTS: 1 THE STATE TAX OFFICER SQUAD NO.VII, STATE GOODS AND SERVICES TAX DEPARTMENT, PALAKKAD-678001. 2 THE COMMISSIONER OF STATE TAX, STATE GST DEPARTMENT, TAX TOWERS, KILLIPPALAM, KARAMANA, THIRUVANANTHAPURAM-695002. BY DR.THUSHARA JAMES, SR.GOVT. PLEADER THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 25.10.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C) No.9992/21 BECHU KURIAN THOMAS, J. ----------------------------------------- W.P.(C) No.9992 of 2021 ---------------------------------------- Dated this the 25th day of October, 2021 JUDGMENT Petitioner is a dealer in gold jewellery. He challenges the proceedings initiated under section 130 of the Central Good
The judgment continues below.
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